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June 23, 2022 by Kevin Shaw

Five in five: Kevin Shaw

“I feel privileged to be able to share my knowledge and the collective expertise of our team to help our clients realize their aspirations and objectives. That’s what really gets me out of bed each morning.”

June 17, 2022 by Bud Arnold

Structuring a farm business to involve the next generation

If you’re thinking about farm succession planning, there are many areas to consider. One key consideration is determining how to include the next generation in the structure of a farm business while the parents are still involved. If you plan to include more than one generation at the same time, there are several ways you can include a child or successor as a partial owner.

May 26, 2022 by Jarred Cohen

Five in five: Jarred Cohen

“I enjoy learning about clients’ and colleagues’ paths and how they achieved their success – discussing business trends, challenges they’ve encountered and where they see themselves in the future.”

April 28, 2022 by Luther VanGilst

Navigating the new Canadian carbon tax credit

There are currently four Canadian provinces that do not have a provincial carbon tax: Alberta, Manitoba, Ontario and Saskatchewan. As a result, their carbon use is taxed on a federal level. In these provinces, farmers generally do not pay carbon tax on diesel and gas used for farm equipment or farm vehicles, but they do pay carbon tax on the propane and natural gas they use.

March 21, 2022 by John Oakey

Are capital gains rates set for a hike?

It’s time to get out the Magic 8-ball, shake it feverishly, stare into the depths of the swirling black mist and ask the question:

“Will the capital gains inclusion rate increase in the 2022 federal budget?”

Before the Magic 8-ball provides us with its mystical answer, let’s review what information we do have to see if we can predict the outcome on our own.

August 23, 2021 by Bud Arnold

The rules of family farm transitions are changing

When selling a farm corporation, there are tax advantages to selling to a stranger than to someone in your own family. It has always been difficult to transition corporate-owned farms to the next generation, because the sale of a corporation within a family is taxed at a punitive rate – one that would be lower if the buyer was an unrelated person.

July 14, 2021 by Thomas Blonde

Four reasons to consider renting farmland

The advantages of buying property are well known to most farmers. It is a great way to build equity in your business and it usually grows in value over time. In addition, owning farmland offers more tax planning options down the road, allows you to avoid rent increases, gives you more freedom in the way you use the land and protects you from losing access to the land, in the event your landlord decides to sell the land or rent to someone else. However, in spite of all these advantages, there are also several reasons it might be preferable to rent farmland.

June 28, 2021 by Luther VanGilst

New tax savings for farmers buying capital assets

Farmers who are thinking of buying a major capital asset like machinery or equipment may soon see significant tax savings. In the 2021 federal budget, important changes were proposed to the capital cost allowance rules. Before these changes were introduced, capital assets were depreciated according to their class. For example, if a farmer purchased a Class 10 tractor or combine, the capital cost allowance on that asset in the year of purchase was 45 per cent. However, the new rules no longer organize assets by class, instead allowing farmers to fully expense capital assets up to $1.5 million in the year of purchase. 

June 17, 2021 by Luc Joye

The drawbacks of deferring taxes

Most businesses must pay taxes on all income, including accounts receivable and inventory in the year they are created. However, farm businesses are one of the few exceptions, as they are permitted to pay taxes on a cash basis. As a result, they have the unique ability to deduct prepaid expenses and push income into future years. Rather than pay tax on inventory, they can wait until this inventory has been sold. While most farmers prefer to take advantage of this deferral opportunity, this is not always the best option.