Conservation Tillage and Precision Agriculture Equipment Tax Credit
The Tax Credit
The Conservation Tillage and Precision Agriculture Equipment Tax Credit is a state income-tax credit equal to 25% of the cost of the equipment with a maximum tax-credit amount of $17,500.00. Individuals and corporations may claim this credit during the tax year in which the equipment was purchased.
You may qualify to claim this tax credit if
- you are engaged in agricultural production for market
- you have a Soil Conservation Plan approved by your local Soil & Water Conservation District
- you have a Nutrient Management Plan developed by a certified nutrient management planner
- you purchase equipment designed to reduce soil compaction and disturbance OR to use precision agriculture technology to apply fertilizers and pesticides
What kind of equipment qualifies?
- Equipment to reduce soil compaction and disturbance
- “No-till” planters and drills, including those attached to equipment you already own
- Guidance systems to control traffic patterns to reduce soil disturbance
- Precision fertilizer and pesticide application equipment
- Equipment that meets the standards set by the Virginia Soil and Water Conservation Board
For more information or to request the required Nutrient Management Plan approval letter, contact the District at (540) 534-3031. Program information is subject to change on July 1; contact the District for more information.
Conservation Tillage and Precision Agriculture Equipment Tax Credit fact sheet