IT-217: Claim for Farmers' School Tax Credit (2025)

Who files this form

Use Form IT-217 to claim the farmers’ school tax credit with Form IT-201, IT-203, or IT-205.

To qualify, you must answer Yes to all four eligibility questions:

• Did you have qualified agricultural property for the tax year?
• Were eligible school district property taxes paid on that property during the tax year?
• Is the amount on line 6 of the Item C worksheet less than $300,000?
• Is your federal gross income from farming at least two-thirds of your excess federal gross income for the year?

The form refers to the instructions for definitions and the Item C worksheet. Those instructions are not included in the supplied text.

What you'll need

Have the following information ready to complete Form IT-217:

• Your name and identifying number as shown on your return.
• Acres of qualified agricultural property you owned during the tax year.
• Eligible school taxes you paid.
• The amount from line 6 of the Item C worksheet in the instructions.

If you claim through a partnership, New York S corporation, estate, or trust, you also need the entity’s name, type, employer identification number, property location, and your share of qualified acreage and eligible taxes.

Fiduciaries need beneficiary names, identifying numbers, and the acreage and eligible taxes allocated to beneficiaries and the fiduciary.

If property was converted to nonqualified use, Part 6 asks for the acres converted, total qualified acres before conversion, and total credit claimed for the two previous tax years.

How to file

Submit Form IT-217 with Form IT-201, IT-203, or IT-205.

Before completing IT-217, complete your main return through the applicable line:

• Form IT-201: line 33.
• Form IT-203: line 32.
• Form IT-205: line B.

The supplied form text does not give a mailing address or e-filing directions.

Common mistakes

• Continuing after a No answer in Part 1: If you mark No for item A, B, C, or D, stop. You do not qualify for the credit.
• Missing the related-person checkbox: For tax year 2025, mark item E if you and one or more related persons each owned qualified agricultural property on March 1, 2025. The form directs you to the instructions for Part 2, line 5.
• Missing a property conversion: Mark item F if any qualified agricultural property was converted to nonqualified use during the tax year.
• Overlooking the line 6 shortcut: If Part 2, line 6 is zero or less, skip lines 7 and 8, enter 1.0000 (100%) on line 9, and continue on line 10.
• Overlooking the line 15 shortcut: If line 15 is $200,000 or less, skip lines 16 through 18 and enter the line 14 amount on line 19.
• Rounding incorrectly: Lines 9 and 17 require rounding to the fourth decimal place.

Questions people ask

Can I qualify if I answer No to an eligibility question?

No. A No answer to item A, B, C, or D means you do not qualify and must stop.

What if I have qualified acreage through a partnership, S corporation, estate, or trust?

Complete Part 3 for each applicable entity and report your share of qualified acreage and eligible taxes in Part 4. Fiduciaries carry the Part 4 totals to Part 5; all others carry them to Part 2, lines 2 and 11.

Does the form reduce the credit based on income?

Part 2 uses the amount from line 6 of the Item C worksheet. If that amount is $200,000 or less, line 19 equals line 14. If it is more than $200,000, lines 16 through 18 calculate a reduction. To pass eligibility item C, the worksheet amount must be less than $300,000.

What if qualified agricultural property was converted to nonqualified use?

Mark item F. Part 6 calculates credit recapture using the acres converted, total qualified acres before conversion, and credit claimed for the two previous tax years. The form refers to the instructions for details.

Official sources

• https://www.tax.ny.gov/pdf/current_forms/it/it217_fill_in.pdf