Agriculture
Farmers have realized that drainage and agriculture are really inseparable.
The high cost of agricultural inputs and machinery requires the farmer to reduce the risk of crop loss. Drainage eliminates one of the risks. Many farmers consider drainage to be the best management practice. Farmers are being asked to provide more and more of the world's food and fiber at a lower cost. This type of demand makes drainage even more important. GPS yield monitors continue to show significant differences in drained and un-drained ground. A systematic drainage system may increase yields by as much as 50% in some cases.
Help During Drought
Farmers are also finding that tile not only helps in wet years but also in times of drought. The tile system lowers the spring water table, promoting deep and vigorous root growth. Water table management is also now being incorporated into the drainage systems. Farmers may be able to bring the water table up closer to the root system to hold water in the system for later use.
Drainage Advantages
There also may be certain tax advantages that can be used on a drainage system. The return on investment of a drainage system can be much greater than buying more land, and land values are increased with drainage systems. Drainage is truly an ally of the farmer's conservation plan. The reduction in surface runoff in turn reduces sediment and fertilizer infiltration to streams and ponds.
Resources
Illinois
- Ag sales tax letter rulings
- Commercial contractor sales tax letter ruling
- Farm machinery exemption law/regulations
- Contractor sales tax part 130.1940
- Contractor sales tax part 130.2075
- Letter Ruling Drainage Equipment 96-0082
- Letter Ruling Drainage vs Irrigation Tile 87-0578
- Letter Ruling Utility Trencher 89-0133
- Letter Ruling Trencher & Laser System 88-503
- Construction Contractor Regulations 130.1940
- IL Part 130 Section 130.305 Farm Machinery and Equipment
- Sales to Construction Contractors Reg 130.2075
- Sales and Use Tax: Dozer Used Primarily for Production Agriculture Exempt
- Sales and Use Tax: Tractor Purchase Not Exempt
Iowa
Indiana
- Material equipment handling sales tax case 04-950543
- Ag equipment sales tax case 02-0044
- Indiana sales tax bulletin
- Trencher use sales tax 97-0544
- Ag commodities use sales tax
- Indiana Letter Ruling 04-20100616 (Tax Years 2007-2009)
- Indiana Letter Ruling 04-20100480 (Tax Year 2007)
Kansas
Kentucky
Missouri
Wisconsin
When I first started 12 years ago, we probably dealt with three different companies. Two of the companies I had some pipe issue with. I have never had a pipe issue with Springfield Plastics.