TN 12 (01-12)
Share farmers are individuals, partnerships, or corporations that cultivate, operate,
or manage farms for gain or profit.
A share farmer is an employee when the landowner has the right to direct or control
how the farmer performs and the farmer:
produces a crop or livestock on land belonging to another person;
receives a specified pay rate, and
receives a fixed sum of money, or fixed quantity of the crop or livestock (not a share
of the crop or livestock or their proceeds).
A share farmer is an independent contractor (self-employed) under an income-sharing
arrangement if he or she:
produces a crop or raises livestock on land belonging to another person; and
has a share of the crop or livestock, or
has proceeds from their sale that depends on the amount produced.
This applies if the farmer paid another person (an agent) to do the work or management
for him or her.
IRS Publication 225, Farmer’s Tax Guide
IRS 1040 Instructions
Social Security Handbook, Chapter 1119: Definition of Share farmer
Social Security Handbook, Chapter 1120: “Undertakes to Produce a Crop" Defined for
Social Security Handbook, Chapter 1121: Partnership or Joint Ventures Between Farm
Owner and Operator