Amount:

No Fixed Amount

Type of Program:

Tax Reduction


Description:

The Farm Property Class Tax Rate Program is for Ontario farm businesses that gross $7,000 or more in annual farm income. Under this program, the farmland is taxed at no more than 25% of the municipality's residential property tax rate and the farm residence and one acre of land surrounding it continue to be taxed at the municipality's residential tax rate.

Comments on Funding:

The subsidy is a reduced tax for the applicant's farmland (no more than 25% of the municipality's residential property tax rate).


When It Ends:

Ongoing

Deadline:

Rolling deadline

Eligibility:

Applicants must:

  • have their property assessed as farmland by the Municipal Property Assessment Corporation (MPAC). MPAC classifies the applicant's property based on requirements set by the Government of Ontario through the Assessment Act. MPAC completes a province-wide assessment every four years, with notices sent to all property owners.
  • use their property for a farm business that generates an annual gross farm income of at least $7,000,
  • have a valid FBR number. Ontario farm businesses that gross $7,000 or more in annual farm income are required by law to register their businesses with Agricorp each year under the Farm Business Registration (FBR) program.
  • farm a property that is owned by Canadian citizens or permanent residents of Canada.

Applications Steps:

1

Ontario farm businesses that gross $7,000 or more in annual farm income are required by law to register their businesses with Agricorp each year under the Farm Business Registration (FBR) program.

2

Applicants will receive the farm property class tax rate on their municipal property tax bill for the next calendar year.

How it works:

1

You buy or make ownership changes to farmland.

2

MPAC automatically notifies Agricorp.

3

Agricorp automatically sends you an application package.

4

You return the completed application to Agricorp.

5

Agricorp sends confirmation of approval to you and MPAC.

6

MPAC automatically notifies your municipality.

7

Your municipality applies the farm property class tax rate to your property tax bill for the next calendar year.

About the author 

Maurice

Maurice (Moe) Muise learned the ins-and-outs of government while an employee of the Government of Canada in Ottawa for 10 years. His current focus is helping small businesses in Ontario to identify and maximize government grants to grow their business.
Click here to learn more about Moe's background and how he can help your business.

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