“(1) as a whole. —For purposes of the area and area 1017, the release by an experienced individual of qualified farm indebtedness of the taxpayer that is maybe perhaps not insolvent during the time of the release will be addressed when you look at the exact same way as in the event that release had happened once the taxpayer ended up being insolvent.
“(2) Qualified farm indebtedness. —For purposes of the subsection, indebtedness of the taxpayer will be addressed as qualified farm indebtedness if—
“(A) such indebtedness had been incurred straight relating to the procedure by the taxpayer of this trade or company of agriculture, and
“(B) 50 % or higher for the normal yearly gross receipts for the taxpayer for the 3 taxable years preceding the taxable 12 months in that your release of these indebtedness does occur is due to the trade or business of agriculture. Continue reading “Subsec. (g). Pub. L. 100–647, § 1004(a)(4), substituted “indebtedness” for “indebtedness of solvent farmers” in amended and heading text generally speaking. Just before amendment, text read the following:”