June 8, 2008 by admin

1224. What are the criteria for Test I: Financial Contribution, Periodic Inspection, and Consultation?

You meet the conditions for Test I if you have an arrangement for participation and do any three of the following:

1. Advance, pay, or stand good for a significant part of the cost of production;

2. Furnish a significant part of the tools, equipment, and livestock used in producing the commodities;

3. Make periodic inspections of the production activities; or

4. Advise and consult with the tenant periodically.

Last Revised: March, 2001