Farm Relief and Economic Development Act of 2000

Farm Relief and Economic Development Act of 2000 - Amends the Internal Revenue Code, with respect to farmers, to among other things: (1) allow a deduction from gross income for amounts paid into an interest-bearing Farm and Ranch Risk Management (FARRM) Account, created for the farmer's exclusive benefit; (2) exclude net earnings from a lease agreement (currently, an arrangement) from income with respect to farmland; (3) treat conservation reserve program payments as real estate rentals for self-employment earnings purposes; (4) provide a limited exclusion from gross income of gain from the sale of qualified farm property, to the extent such property does not exceed 160 acres; (5) exempt certain small issue bonds from the State volume cap; (6) exclude from gross income gain from the transfer of farm property to satisfy up to $350,000 of qualified farm indebtedness; (6) increase the number of years for which a loss may be carried back; and (7) coordinate income averaging with the alternative minimum tax.