The financial trauma of the 1980s has left a legacy rarely seen in the years since the Great Depression of the 1930s — indebtedness in excess of basis on farm property. While this state may be of only modest concern so long as the property is not sold or exchanged, any event requiring a realization of the gain, poses potentially serious additional income tax liability for the taxpayer.
Harl, Neil E.
"Indebtedness in Excess of Basis,"
Agricultural Law Digest: Vol. 1
, Article 1.
Available at: http://lib.dr.iastate.edu/aglawdigest/vol1/iss23/1