(A)
Averaged Income. For the period of time over which
self-employment is determined, add all gross self-employment income (including
capital gains), exclude the cost of producing the self-employment income, and
divide the self-employment income by the number of months over which the income
will be averaged.
(B)
Anticipated Income. For those households whose
self-employment income is not averaged but is instead calculated on an
anticipated basis, add any capital gains the household anticipates it will
receive in the next 12 months, starting with the date the application is filed,
and divide this amount by 12. This amount shall be used in successive
certification periods during the next 12 months except that a new average
monthly amount shall be calculated for this 12 month period if the anticipated
amount of capital gains changes. Then add the anticipated monthly amount of
capital gains to the anticipated monthly self-employment income, and subtract
the cost of producing self-employment income. Except for depreciation, the cost
of producing the self-employment income shall be calculated by anticipating the
monthly allowable costs of producing the self-employment income. Capital gains
is the gain the household makes from the sale of a capital asset, such as real
property used to carry out the household's business enterprise, in excess of
the value of the property or cost of the property.
(C)
Determining Monthly SNAP
Income. To determine the monthly SNAP income for households with
income from self-employment enterprises, the monthly net self-employment income
is added to any other earned income, or in the case of unearned rental income
to other unearned income, received by the household.
If the cost of producing self-employment income of farmers
exceeds the income derived from self-employment, such losses shall be offset
against any other countable income in the household, provided that the farmer
has received or is anticipating receiving annual gross proceeds of $1000 or
more from the farming enterprise; and provided that whatever base is used to
determine any net income from self-employment farm operations, such as the
previous year's tax return or current income, the same base is used in
determining any net loss. Losses shall be prorated over the year in a manner
comparable to that used to prorate farm self-employment
income.
