Farmers who receive income from pass-through entities will see a 20% deduction. The effective impact of a 37% tax rate and a 20% deduction for pass-through income would set a top tax rate on business income at 29.6%. The tax accounting firm K-Coe Isom suggested some business considerations for farmers as year-end tax strategies for the bill. One would be to defer income to next year and pay deductible expenses now, because depending on circumstances, farmers could have a lower tax rate for 2018. After 2017, carryback of net operating losses will be limited to just two years instead of five years. So this may be the last chance to recoup income taxes from 2012-2015, K-Coe Isom said.Farmers may need to restructure their operations in order to get maximum benefit from the new law, but K-Coe Isom noted that "rate reductions and estate tax changes beneficial to ag are temporary."