The Canadian government has introduced more tax breaks for livestock producers hit by high feed costs as a result of the North American drought.
Agriculture minister Gerry Ritz announced last week that livestock producers in British Columbia, Alberta, Manitoba, Ontario and Quebec would be able to defer income tax on the sale of breeding livestock for one year. It is hoped that this will help farmers restock, with deferred income from sales partially offset by the cost of replacing breeding animals in the next tax year.
“Our government understands the difficulties faced by livestock producers due to unforeseen weather and we are acting. With this tax deferral, producers in another 34 drought-affected municipalities will be able to redirect money towards restocking next year,” said Ritz.