KAP speaks on behalf of all Manitoba farmers.
KAP worked with the provincial government on the carbon tax that was part of the climate and green plan unveiled in November, 2017. KAP lobbied for an exemption for farmers – and the government listened.
There will be no carbon tax on marked fuels used on farms – and agricultural emissions will be also exempt from the tax. In addition, agricultural operations will be able to contribute to carbon sequestration and offset trading systems that will be established in Manitoba and other provinces.
Tax changes to private corporations
KAP, along with individual farmers, the CFA and farm groups across the country, vigorously opposed federal proposals to tax changes for private corporations announced in the summer of 2017. For farmers, these changes would make it financially difficult to pass the farm to the next generation. In fact, it appeared that producers could sell their operations at a lower price to a non-family member than to their children.
The consultation period for the changes ended before harvest, and both farmers and their tax advisors were blindsided.
KAP sent letters to Ottawa on behalf of producers, contacted the finance minister directly, and wrote an editorial that appeared in the Winnipeg Free Press. As well, KAP supported the CFA’s efforts – including an online petition. Everyone spoke with united voices.
In October, the government withdrew it’s proposal to limit capital gains exemptions. It also scaled back proposed changes to income sprinkling, and dropped the proposal to restrict conversion of income into capital gains.
Municipal and School Taxes
KAP continues to stress to the provincial government the necessity for a change to municipal and school funding methods. KAP is highlighting that rising assessed values of farmland has resulted in the number of capped school tax rebates rising from 1,904 in 2015 to 2,909 in 2016. The work goes on.