Media statement on announcement of small business tax changes

Oct 17, 2017

“The Canadian Federation of Agriculture (CFA) welcomes today’s announcement by Prime Minister Justin Trudeau, Finance Minister Bill Morneau, and Small Business and Tourism Minister Bardish Chaggar that the 10.5% small business tax rate will drop to 10% in 2018 and 9% in 2019.

A reduced overall small business tax rate will help to drive growth in the agriculture sector and boost the competitiveness of Canadian farmers. As well, changes announced to ‘Tax Planning Using Private Corporations’ proposals are a positive sign that the government understands the concerns voiced by farm groups in recent months.

Simplifying the income sprinkling rules is a step in the right direction and farmers look forward to more clarity around tax changes. CFA is also pleased that the government will not proceed with limiting access to the Lifetime Capital Gains Exemption.
Minister Morneau has said that he’ll ensure family farm transfers aren’t affected by the tax changes and farm groups await details on how the proposals will be revised in this regard.

While today’s news resolves some uncertainty, farmers remain apprehensive about other proposed tax measures, particularly on passive investments, which are vital for managing year-over-year risks due to weather or market-related volatility. CFA has also noted concern with plans that would affect the conversion of income into capital gains.

CFA executives are in regular contact with Finance Canada officials and other government representatives, and we understand these outstanding issues will be addressed in the near future.”

Source: CFA FCA

Video: Evolution of Beef Cattle Farming

The Clear Conversations podcast took to the road for a special episode recorded in Nashville during CattleCon, bringing listeners straight into the heart of the cattle industry. Host Tracy Sellers welcomed rancher Steve Wooten of Beatty Canyon Ranch in Colorado for a wide-ranging discussion that blended family history and sustainability, particularly as it relates to the future of beef production.

Sustainability emerged as a central theme of the conversation, a word that Wooten acknowledges can mean very different things depending on who you ask. For him, sustainability starts with the soil. Healthy soil produces healthy grass, which supports efficient cattle capable of producing year after year with minimal external inputs. It’s an approach that equally considers vegetation, animal efficiency, and long-term profitability.

That philosophy aligned naturally with Wooten’s involvement in the U.S. Roundtable for Sustainable Beef, where he served as a representative for the Colorado Cattlemen’s Association. The roundtable brings together the entire beef supply chain—from producers to retailers—along with universities, NGOs, and allied industries. Its goal is not regulation, Wooten emphasized, but collaboration, shared learning, and continuous improvement.