TRUMP IS ‘GOOD FOR AGRICULTURE,’ SAY RANCHERS
‘Sustainable’ beef program ready to launch
Top U.S. cattle official praises president for his farm program » PG 3
Years of work could give Canadian beef an edge in the marketplace » PG 2 Publications Mail Agreement # 40069240
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New technology poised to give barley a boost Researchers aim to breed barley tailored to very specific needs BY JENNIFER BLAIR AF staff / Lacombe
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here’s a bright future for boring old barley. Aside from malt, barley doesn’t generate a lot of excitement for Prairie grain growers — something you can see in acreage figures (which have fallen by more than a third in Alberta and by nearly half in Western Canada during the past decade). But new technology is adding some pizzaz for both the feed and malt varieties. Researchers at the Field Crop Development Centre in Lacombe
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Proposed tax changes could hit farmers hard Ottawa’s plan to make wealthy Canadians pay their fair share of taxes could cripple your retirement or succession plans BY JENNIFER BLAIR AF staff
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roposed changes to the federal income tax act could have farreaching consequences for Canadian farmers. “The proposals that came out in July are so wide reaching and so complicated that they could significantly impact all farms across Canada,” said Allan Sawiak, a taxation partner at accounting firm Kingston Ross Pasnak in Edmonton. “This will affect any tax planning for farmers on an annual basis all the way until their deaths. It will always have to be at the back of their minds now.” The federal government’s proposed changes are to income-avoidance measures such as income splitting, paying dividends to family members, and lifetime capital gains deductions. The proposed moves sparked an outcry, particularly from physicians, but the changes should concern farmers, too, said Sawiak. “My main concern is that they’re going to go through with these changes no matter what and the farmers are going to be caught off guard, and it will be too late at that point in time,” said Sawiak. Farm business management expert Merle Good agrees. “In my view, this is the biggest tax reform package since 1971,” said Good. “These changes that they’re bringing in are primarily going to restrict our
Federal Finance Minister Bill Morneau is proposing changes to “level the playing field” by changing income tax rules that allow some to avoid tax through “fancy accounting schemes.” But Alberta farm business experts say they will have a big impact on farmers. Photo: REUTERS/Chris Wattie ability to convert farmers’ wealth into retirement income and their flexibility in transferring the farm to the next generation. “All producers should take a very careful look at these proposals and make sure that Revenue Canada realizes that its huge steps maybe have unintended consequences to the farm industry.”
‘Tax traps’ feared
Under the new tax proposals, using a child’s capital gains deductions will come with various restrictions, said Sawiak. Children under the age of 18 who receive a capital gain will not be able to use their deduction on any property, and
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