Funder: Massachusetts Department of Agricultural Resources
Due Dates (Anticipated): January 2027 (Application deadline)
Funding Amounts: Refundable tax credit based on milk production and pricing; $8 million annual program-wide cap
Summary: Supports registered Massachusetts dairy farms through tax credits that offset milk-price downturns relative to production costs.
Key Information: This is tax-based support for dairy operations, not funding for research projects.
Description
The Dairy Farmer Tax Credit Program, administered by the Massachusetts Department of Agricultural Resources (MDAR), provides state tax support to registered Massachusetts dairy farms. It is intended to offset cyclical downturns in milk prices and provide revenue stability when prices paid to farmers fall or production costs rise relative to those prices.
The program offers a credit against Massachusetts personal income tax or corporate excise liability. Eligibility for a credit is tied to milk production and sales, with credits based on production during months when the farm price of milk falls below a trigger price established under 330 CMR 29.00. Rather than supporting a defined research study or project, the program serves as an economic safety net for dairy farm operations.
