Chapter 24: Specialized Industry Applications

In this section

• Agriculture & Farming (Special Deductions, Depreciation)
  Explore farm income averaging, soil and water conservation expenses, and specialized depreciation schedules for agricultural machinery and livestock. Learn how these rules interconnect with CPA exam requirements to ensure accurate tax compliance and planning in the farming industry.
• Oil & Gas Ventures (IDCs, Percentage vs. Cost Depletion)
  Explore Oil & Gas Accounting for Intangible Drilling Costs (IDCs) and the nuances between Percentage and Cost Depletion. Learn typical partnership structures in resource extraction, including tax implications, best practices, and real-world illustrations.
• Real Estate Professionals & Tax Complexities
  A comprehensive guide for CPA candidates on the real estate professional classification, passive activity exceptions, and depreciation grouping strategies under IRC §469.
• Niche Credits & Deductions for Specific Industries
  Explore rarely used federal tax credits, including Orphan Drug and Short-Line Railroad, addressing qualification, calculation, compliance, and advanced planning scenarios for specialized sectors.