The federal government is providing further relief for livestock producers affected by this year's dry conditions.
Extreme weather conditions have caused feed shortfalls, which has led to designated regions in several provinces, including Manitoba, to be eligible for livestock tax deferral provision.
This allows producers to defer a portion of their 2018 sale proceeds until 2019 to help replenish the herd. The cost of replacing the animals in 2019 will offset the deferred income, reducing the tax burden associated with the original sale.
"This year’s growing conditions across several provinces have brought many challenges to Canadian livestock producers," said Federal Agriculture Minister Lawrence MacAulay. "The Government has prioritized the approval of the Livestock Tax deferral to give farmers more certainty about their financial situation and help them keep their businesses strong, while growing the economy and strengthening the middle class."
Producers can request the tax deferral when filing their 2018 income tax returns.