WINNIPEG, MANITOBA — (Marketwire) — 03/05/09 — The Government of Canada will now allow tax deferrals to livestock producers who are forced to sell animals due to flooding. Agriculture Minister Gerry Ritz made the announcement today in Winnipeg, Manitoba.
“It takes hard work for producers to get back on their feet after a flood and this Government is standing with them as they get back on track,” said Minister Ritz. “We are giving Canadian producers the breathing room they need on their tax bills to help rebuild their herds after flooding.”
“This Government supports producers when they have to make tough business decisions,” said Finance Minister Jim Flaherty. “When floods strike, producers often have to sell off some of their breeding stock. By deferring the taxes on those sales, we are making sure producers have the resources they need to buy breeding stock after the flooding is over.”
The Government of Canada is offering tax deferrals to allow eligible producers in designated areas to defer a portion of the income from the sale of breeding livestock for one year as they replenish breeding stock in the following year. This change gives producers across Canada access to tax deferrals for flooding that match the tax deferrals they have previously had access to for drought.