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Reap PA Conservation REAP Tax Credits By March 31Reap PA Conservation REAP Tax Credits By March 31

March 31 is the application deadline for REAP project tax credits for on-farm conservation equipment or best management practices.

March 12, 2014

2 Min Read

Got a conservation tool you planning to buy or manure management plan you'd like to install? If you're a Pennsylvania farmer, you can receive tax credits of up to $150,000 per agricultural operation for 50% or 75% of total project cost.

But you'll need to submit an application for it through the Resource Enhancement and Protection program, and do it by March 31. The most common REAP projects approved are for no-till planting equipment, materials for waste storage facilities, manure management plans and protecting heavy-use animal areas like barnyards.

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 "REAP helps producers farm for the future without compromising the needs of the present," says Pennsylvania Ag Secretary George Greig. "This program helps producers improve their operations while advancing the health of our watersheds."

Earn tax credits

Producers with proposed or completed projects should submit applications immediately. The projects will be considered on a first-come, first-served basis. 

How you gain tax credits
REAP allows farms and businesses to earn Pennsylvania state tax credits for implementing best management practices that enhance production and protect the environment. It's administered by the State Conservation Commission.

Private investors may provide capital to producers in return for tax credits. Any individual or business subject to taxation under Personal Income Tax, Corporate Net Income Tax, Bank Shares Tax or others is eligible to participate in REAP.

Since REAP began in 2007, 3,498 projects worth more than $48.2 million have been approved. More than $103 million in public and private investments were made to implement these projects.

In the past three years, REAP has helped reduce more than 11 million pounds of nitrogen, 859,485 pounds of phosphorus and 877,059 pounds of sediment.  

REAP applications are available at www.pda.state.pa.us/REAP , under "Forms," or by contacting the State Conservation Commission at 717-705-4032.

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