Livestock Producers Receive Tax Relief for 2018
News release
Final List of Designated Regions under the Livestock Tax Deferral Provision Released
January 30, 2019 – Ottawa, ON – Agriculture and Agri-Food Canada
The Government of Canada today released the final list of designated regions where livestock tax deferral has been authorized for 2018 due to drought conditions in British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Quebec and New Brunswick.
On September 14th, 2018, the Government announced the initial list of prescribed regions in British Columbia, Alberta, Saskatchewan, Manitoba, and Quebec eligible for livestock tax deferral. A second designation of eligible regions was made on October 31, 2018. Ongoing analysis of drought conditions has indicated the need to expand the list of designated regions for 2018, with new regions identified for Alberta, Saskatchewan, Manitoba, and Ontario.
The livestock tax deferral provision allows producers in prescribed drought or excess moisture regions to defer a portion of their 2018 sale proceeds of breeding livestock until 2019 to help replenish the herd. The cost of replacing the animals in 2019 will offset the deferred income, thereby reducing the tax burden associated with the original sale.
Eligibility for the tax deferral is limited to those producers located inside the prescribed areas. Producers in those regions can request the tax deferral when filing their 2018 income tax returns.
Quotes
"Extreme weather conditions created difficulties for Canada's livestock industry in several provinces this past year. This tax deferral will help farmers manage the impacts of drought and focus on rebuilding their herds and businesses."
- Lawrence MacAulay, Minister of Agriculture and Agri-Food
Quick facts
-
Low moisture levels resulted in significant forage shortages for livestock producers in British Columbia, Alberta, Saskatchewan, Manitoba, Quebec and New Brunswick in 2018. One option for producers is to reduce their breeding herd in order to manage feed supplies.
-
In addition to the livestock tax deferral provision, producers have access to assistance through existing Canadian Agricultural Partnership Business Risk Management programs, which include AgriInsurance, AgriStability and AgriInvest.
Related products
Associated links
Contacts
Katie Hawkins
Director of Communications
Office of the Honourable Lawrence MacAulay
613-773-1059
katie.hawkins@agr.gc.ca
Media Relations
Agriculture and Agri-Food Canada
Ottawa, Ontario
613-773-7972
1-866-345-7972
aafc.mediarelations-relationsmedias.aac@canada.ca
Follow us on Twitter: @AAFC_Canada
Like us on Facebook: CanadianAgriculture
Page details
- Date modified: