- 5 -
During 1993, 1994, and 1995, JJ & P Farms, Inc., paid wages
to petitioners in exchange for petitioners’ farm-related activi-
ties in the production of agricultural commodities. During 1995,
the wages that that company paid to petitioners for such farm-
related activities were calculated without regard to such activi-
ties that petitioners performed with respect to processing hogs
through the 800-head capacity hog barn that petitioners built in
1995.
During 1993 and 1994, petitioners leased to JJ & P Farms,
Inc., pursuant to an oral arrangement (oral rental arrangement)
farmland,8 including existing buildings on that land (petition-
ers’ farmland), and certain personal property (petitioners’
personal property) that they owned.9 Pursuant to the oral rental
arrangement, during each of the years 1993 and 1994, JJ & P
Farms, Inc., was required to, and did, pay to petitioners rent of
$29,400 for petitioners’ farmland, exclusive of existing build-
ings on that land, and rent of $21,000 for the buildings on that
8JJ & P Farms, Inc., also leased certain other farmland from
third-party landlords pursuant to oral rental arrangements with
those third-party landlords.
9During 1993 and 1994, petitioners had no written rental
agreement with JJ & P Farms, Inc., with respect to the lease of
petitioners’ farmland and petitioners’ personal property.
Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Next
Last modified: May 25, 2011