The Saskatchewan Farm Tax is a controversial subject that is often debated in provincial capitals. Many politicians fear that a change in the tax code will drive away rural support. Similarly, the Saskatchewan Party is wary of angering its base. Nevertheless, the current tax legislation is a good starting point for discussion on issues surrounding rural taxes.
Exemptions for real property services
If you are planning to buy farmland in Saskatchewan, you should know the Goods and Services Tax (GST) implications of your transaction. While real estate transactions are typically exempt from GST, some circumstances make them taxable. For more information, please refer to the GST/HST Info Sheet for real property sales.
The GST exemption on real property services and construction charges in Saskatchewan is being extended to farmers and other primary producers. The Saskatchewan Government’s Information Notice (2022-04) outlines eligible farm equipment and real property services. These services include trenching, irrigation pipe installation, and dugout excavation, among others. Additionally, livestock fence insulators are now eligible to be exempt.
The government has recognized the importance of a fair and equitable tax system for farmers. It has also taken action to mitigate the impact of the reassessment on agricultural land. The percentage of land value for rangeland is set at 50%, and the government is increasing funding for the Foundation Operating Grant. The government is also exploring other options to increase farm income.
If you own a farm, you can claim the exemption based on the value of your land and buildings. The value of your land and buildings and fixtures must be allocated based on the value of the land. If you own a business, you can use the land for other purposes such as farming.
You may be eligible to obtain a tax exemption for the value of your agricultural land if it’s used exclusively for farming. To claim this exemption, complete a form located in the forms and permits section. You must complete this form and submit it to the RM of Usborne before March 31.
Education
This program is intended to help farm producers reduce their property taxes. It is administered by the Department of Agriculture and Food and represents a significant cost reduction for farmers. The government of Saskatchewan has allocated $460 million to school divisions in 2001, a 7.9 percent increase over the prior year’s grant and the largest increase in school grants in over 15 years.
The bill includes two major components: the Eligible Educator School Supply Tax Credit and the Return of Fuel Charged Proceeds to Farmers Tax Credit. Both have been stuck in the House of Commons since December. The Liberals have blamed the Conservatives for the bill’s long delay, while the Conservatives claim that the Liberals should not have tabled the bill at the 11th hour. Neither party has announced when it expects to pass the bill, but it is important to note that if the bill passes, it will allow farmers and teachers to file their taxes online.
If you are a graduate of a farm tax education program in Saskatchewan, you may be eligible for a tax credit of up to $20,000. To claim the credit, you must attach your SK-METC slips. Once your credit has been applied, you have nine years to claim it. To take advantage of this credit, you must have a Saskatchewan resident household income under $60,000.
The Saskatchewan government is also expanding the PST exemptions for farmers and primary producers. The provincial government’s Information Notice (2022-04) highlights some of the equipment and real estate services that are eligible for these tax exemptions. For example, eligible farm equipment and real property services include trenching services, irrigation pipe installation, and dugout excavation. In addition, eligible livestock fence insulators have been added to the list of eligible farm and land services.
Childcare
Donna Harpauer, the Minister of Finance in Saskatchewan, recently tabled the fiscal 2022-23 budget, a document aimed at strengthening the province and building a strong economy. While she did not announce new tax rates or new programs, one positive change is an increase in the province’s allocation to agriculture. The new budget will provide more than $460 million for the province’s agriculture sector. This increase covers several important areas, including the development of agricultural technology, supporting farmers and ranchers, and increasing access to high-quality childcare.
The province’s government and the federal government recently signed a childcare fee reduction agreement to reduce out-of-pocket fees at licensed child care institutions. This is the first step toward reaching $10 per day for child care in Saskatchewan by 2025. Under the agreement, Saskatchewan licensed daycare centers will receive retroactive funding of up to $395 per month, depending on the child’s age and the provider’s current fees. The funding will reduce fees paid by parents between July 1 and December 31, 2021.
If you’re considering establishing a childcare service, you should talk to your accountant about your plans. The Saskatchewan government will reimburse net fees paid in 2021 in 2022. However, it’s important to remember that there are some requirements and deadlines you must meet. In addition, you should make sure to keep in mind that childcare centers are required to issue amended receipts by 2021 and make sure that they’re updated with the final fee amount.
Many of those who work in agriculture and are attempting to increase their incomes also find that childcare availability is an issue. This can limit the time and money they can spend on farm work. Fortunately, the availability of childcare providers has improved in recent years. Parents with children often have less time to focus on farming and must balance childcare needs with farm work schedules.
Carbon pricing
Climate change is an issue that will require a solution to help farmers deal with the growing costs of climate change. Farmers in Canada are well aware of the costs of fires, floods, and other environmental disasters, and the damage that these events cause to their land, communities, and wildlife. They know that they cannot continue to operate without considering the costs of pollution and adaptation. And they believe that pollution taxes should not be free. Instead, they should be collected and rebated back to Canadians.
Carbon pricing is an attempt to address this issue. The federal government has called on Saskatchewan to implement a carbon price by 2018, but Saskatchewan has resisted the idea. The province says it does not want to implement a carbon tax until it is ready, but the federal government says it is essential for our planet. In Saskatchewan, many farmers have already made the switch to natural gas or blended fuels. But what about those who need to use diesel fuels?
Carbon pricing for Saskatchewan farm tax increases will increase the cost of fuel and fertilizer. However, this tax is not applied to propane that farmers burn on their farms. Farmers who use propane to dry their crops and heat barns say that the carbon tax burden is far greater than any rebate they will receive. While Saskatchewan is one of four provinces that opted not to implement its own carbon pricing plan, the province announced its intention to do so in the 2022-23 budget.
Carbon pricing is an effective way to reduce greenhouse gas emissions. By recognizing that pollution costs money, companies can account for this cost in their decisions every day. In addition to reducing pollution, carbon pricing has been proven to spur innovation.