U.S. · Tax forms

Schedule F line 29, farm taxes.

What the instructions put on this line and what they keep off.

Line 29 (“Taxes”) takes real estate and personal property taxes on farm business assets, the employer share of social security and Medicare tax on farm employees, federal unemployment tax, federal highway use tax, and certain state fund contributions. Federal income tax and self-employment tax are not deducted here.

Instructions for Schedule F, 2025 editionRead November 2, 2026

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Taxes on line 29 (2025 instructions)

ItemMeaningWhat the IRS says
DeductProperty taxesReal estate and personal property taxes on farm business assets
DeductEmployer payroll taxesSocial security and Medicare taxes you paid to match what you are required to withhold from farm employees’ wages
DeductFederal taxesFederal unemployment tax; federal highway use tax
DeductState fund contributionsContributions to a state unemployment insurance or disability benefit fund if considered taxes under state law
Do not deductFederal income taxIncluding your self-employment tax; one-half of SE tax goes on Schedule 1 (Form 1040), line 15
Do not deductEstate and gift taxes; improvement assessmentsEstate and gift taxes; taxes assessed for improvements such as paving and sewers
Do not deductHome, sales taxes on property, unrelated taxesTaxes on your home or personal-use property; state and local sales taxes on property bought for the farm (treat as part of its cost); other taxes unrelated to farming

Sales tax goes into the asset’s cost

The instructions say not to deduct state and local sales taxes on property purchased for the farm on line 29; instead treat them as part of the cost of the property.

Farm use of your home

Taxes on your home or personal-use property are off the list. The instructions note that if you use your home to conduct farming activities, you may be able to deduct expenses related to your home, such as property taxes, on line 32; see “Business use of your home” in the instructions.

Self-employment tax

You cannot deduct self-employment tax on this line. You can deduct one-half of it on Schedule 1 (Form 1040), line 15; see Schedule SE line 13.

Worked example

Ruiz Farms paid $4,200 of real estate tax on farmland, $2,300 of matching social security and Medicare tax on farm employees’ wages, and $420 of federal unemployment tax, so line 29 is $6,920. The owner’s $9,000 of self-employment tax is not included. Names and figures are made up.

More line pages in this set

Related lines: Schedule SE Line 13, Schedule F Line 34.

Sources

Tax year 2025 instructions (page last reviewed or updated April 30, 2026). The line labels were read from the Schedule F (Form 1040) PDF the IRS had posted on the date read, which is the 2025 edition; line numbers can shift between years, so check them against the form for your tax year. Names and figures in worked examples are made up.

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Frequently asked questions

What is Schedule F line 29?

The Taxes line in the farm expenses of Part II.

Which taxes can I deduct on line 29?

Real estate and personal property taxes on farm assets, employer social security and Medicare tax on farm employees, federal unemployment tax, federal highway use tax, and certain state fund contributions.

Can I deduct self-employment tax on line 29?

No. The instructions say not to deduct federal income taxes, including self-employment tax, here, but you can deduct one-half of self-employment tax on Schedule 1 (Form 1040), line 15.

Where do sales taxes on farm equipment go?

The instructions say to treat state and local sales taxes on property purchased for the farm as part of the cost of the property.

Can I deduct property tax on my home?

Not on line 29. The instructions say taxes on your home or personal-use property are excluded, with a pointer to the business use of home rules.

Not tax advice

This page summarizes IRS instructions, mostly written for the people who prepare the form, and is not tax, legal or financial advice. A CPA or an enrolled agent can confirm what a line means for your return. Everything runs in your browser; nothing you enter is sent anywhere.