What's New for Farming

The Government of Canada has announced that it will introduce legislation to extend the existing rules for prescribed drought regions to farmers carrying on a farming business in a prescribed region of flood or excessive moisture.

How will this new measure work?

Eligible farmers who dispose of breeding livestock in a taxation year because of flood or excessive moisture will be permitted to exclude a portion of the sale proceeds from their incomes until the following taxation year.

When does this new measure apply?

It is proposed that this measure will apply to the 2008 and subsequent taxation years.

What are the prescribed flood regions for 2009?

For a list of the prescribed regions of flood or excessive moisture, please consult the press release of the Department of Agriculture and Agri-Food.

How can I obtain more information on this tax measure?

For further information, please consult the press releases of the Department of Finance and the Department of Agriculture and Agri-Food.