The federal government has released an initial list of designated drought regions in the four Western provinces and Quebec for livestock tax deferral this year.
The tax deferral allows producers to defer a portion of 2019 sale proceeds of breeding livestock until next year to help replenish their herd.
In Saskatchewan, the designated tax deferral area includes the Southern two-thirds of the entire grainbelt.
The CEO of the Saskatchewan Cattlemen’s Association, Ryder Lee, welcomes the tax deferral.
He says “We’ve also been trying to get this to be an individual election, so your own business management processes, you can use this tax deferral tool to get through a challenging time from the weather.”
“There’s work to be done to make the program better.”
He adds the Cattlemen’s Association has been pushing for an early announcement for producers.
The manager of the Saskatchewan Stock Growers, Chad MacPherson, also applauds the size of the area for the livestock tax deferral.
He says the announcement comes in a timely fashion, which is a welcome departure from the past.
He says it will hep producers make important business decisions on their farm or ranch.