Federal tax proposals

Latest news on proposed tax reform

The federal government announced on July 18, 2017, a series of transformative tax proposals that may have a severe negative impact on family farm corporations, particularly for multi-generational farms. As the most significant tax changes in recent years, these proposals will spell uncertainty for all family farm corporations. CFA is working with federal officials, agricultural stakeholders and the broader business community to explore the options laid out by Finance Canada in ‘Tax Planning Using Private Corporations’ — as it is clear that further study and technical analysis is required.

CFA recommended several changes to tax proposals

With the 75-day consultation period now complete, CFA focused on advocating for changes to the tax proposals as outlined in its submission to government. Read the submission to learn more. CFA was pleased that the federal government has decided not to pursue some of the original proposals. See our news release. We will keep members updated as the proposals are further refined.

The short consultation phase did not allow enough time for farmers to participate in a fulsome review and discussion around such transformative changes. In fact, the proposals are so dense and highly technical that even tax specialists felt rushed trying to parse through them, seeking to define the scope of their ramifications. Some changes are set to come into immediate effect, and some will lead to retroactive expenses, threatening major consequences for family farms in Canada.

Our advocacy campaign 

CFA staff are working hard to ensure farmers’ voices are heard on this matter, and many farmers have joined in this campaign! This requires a country-wide grassroots effort. Add your voice to our call for Finance Canada to ensure a comprehensive consultation before finalizing any tax changes. Visit this link and enter your postal code to find your local MP’s contact info.

Tell your MP that these tax proposals require further study.

Include the following points in your letter or conversation.

Learn about about the potential impacts 

For more information, contact Scott Ross, CFA’s Director of Business Risk Management and Farm Policy, at 613-236-3633 ext. 2324.