Agriculture and Agri-Food Canada – Livestock Tax Deferral Provision

Description:

The Livestock Tax Deferral provision allows farmers who sell part of their breeding herd due to drought or flooding in prescribed drought or flood regions to defer a portion of sale proceeds to the following year.
To defer income, the breeding herd must have been reduced by at least 15%.

Comments on Funding:

Funding will take the form of a tax deferral:

  1. where the breeding herd has been reduced by at least 15%, but less than 30%, 30% of income from net sales can be deferred;
  2. where the breeding herd has been reduced by 30% or more, 90% of income from net sales can be deferred.

Eligibility:

Applicants must:

  • be farmers who sell part of their breeding herd due to drought or flooding in prescribed drought or flood regions;
  • have their breeding herd reduced by at least 15%.

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