Farms.com Home   News

Ottawa announces Livestock Tax Deferral

Federal Agriculture Minister Lawrence MacAulay has announced the initial list of designated regions in Western Canada for the 2023 Livestock Tax Deferral.

So far,  62 areas in BC, 56 counties in Alberta, 98 RM's in Saskatchewan, and 19 RM's in Manitoba are on the initial deferral list.

The announcement comes days after the Minister made a visit to the prairies last week.

The Livestock Tax Deferral allows livestock producers who are forced to sell all or part of their breeding herd due to drought or excess moisture to defer a portion of their income from sales until the following tax year.

The move allows part of the income from the sale to be offset by the cost of reacquiring breeding animals reducing the tax burden.

The list of prescribed drought and flood regions is usually completed in the early fall, designation of this provision earlier in the year helps provide assurance for producers as they make difficult herd management decisions.

The federal government will continue to monitor conditions across the country and will add other regions throughout the year if they meet the criteria.

MacAulay says his heart goes out to farmers and ranchers who are affected by these extreme weather conditions.

"Early designation of the Livestock Tax Deferral provision provides assurance so they can make informed decisions to manage their herds. We have also enhanced support available under BRM programs and we will continue to work closely with provinces to get producers the additional support they need as quickly as possible.”

Ottawa is also working with BC, Alberta, and Saskatchewan on joint AgriRecovery assessments and is working to finalize the AgriRecovery process to determine if any additional support is required for livestock producers that have been struggling with the ongoing drought.

Ottawa has already supported requests from British Columbia and Alberta for late participation in AgriStability, as well as requests from British Columbia and Saskatchewan to increase the interim payment rate under AgriStability from 50% to 75%. 

Minister MacAulay also highlighted federal support for British Columbia, Alberta, and Saskatchewan to make a one-year adjustment to the AgriInsurance program to make more drought-damaged crops available for feed. 

A government press release also notes that producers have access to a comprehensive suite of business risk management (BRM) programs that are the first line of defense for producers facing disasters, including AgriStability, AgriInsurance and AgriInvest.

It notes that the federal government has already supported requests from British Columbia and Alberta for late participation in AgriStability, as well as requests from British Columbia and Saskatchewan to increase the interim payment rate under AgriStability from 50% to 75%.

Minister MacAulay also highlighted federal support for British Columbia, Alberta and Saskatchewan to make a one-year adjustment to the AgriInsurance program to make more drought-damaged crops available for feed. This increases the amount of crops available for livestock producers in this time of need.

More information on the 2023 Livestock Tax Deferral can be found here.

Source : Pembinavalley online

Trending Video

120 calves. I'm Back!!

Video: 120 calves. I'm Back!!

it's been awhile, but I'm back filming again after a few tough months for the family.