ADVANTAGES OF SMALL FARMER CO-OPERATIVES
WHEN DO I NEED TO PAY TAXES ON MY HOBBY FARM?
Whether you’re a young family in On- tario trying to turn your passion for farming into a career, or retirees in Al- berta who just want to raise chickens for fun, starting or joining a small farm- er co-operative, or “co-op” might be a great option for you. If you’ve already been farming for a while, you know that working with the soil is only half the job. You also have to sell what you grow. Often, restaurants or grocery stores that require large quantities of product will rely on large farms for their consistent supply. A small farmer co-op is a great way for many small farmers to combine forces to get some of the benefits of a large
together to meet production goals, without having to worry about whether another farm will beat you to a sale. • Co-ops foster a community feeling and encourage the sharing of know- ledge and experience among small farmers. If you decide to join or create a co-ope- rative, be sure that everyone that joins is fully informed of the responsibilities and rewards that come with mem- bership. Above all, officialize these re- lationships with legal documentation so there’s no confusion or cause for ar- gument later.
The difference between a small work- ing farm and a hobby farm can some- times be a bit blurry. What’s more, depending on which government agency you’re dealing with, the same operation can be classified as a small farm for one and a hobby farm for an- other. If your establishment is a full- or part-time farm, you may have to pay some tax, but you’ll also be eligible for benefits from the government. The taxes you’ll need to pay on your hobby farm will depend on several dif- ferent factors, including: • Do you make a profit? The gov- ernment will consider your farm a business if it generates an income. Be sure to declare all profits made when you file your tax return.
part of the time but also have a day- job. You may be eligible for some tax breaks as a part-time farmer but you’ll also have to change your tax status. You should consult a profes- sional tax expert to find out exactly what your situation is. • Do you intend to make farming your living? Your intentions for your farm matter to the Canada Revenue Agency. If you’re just starting out and intend for your farm to become your primary source of income in the future, there are also helpful programs available to you through the government. What’s most important when deter- mining the tax status of your hobby farm is to get the best information you can. Consult an accountant if you’re not sure so you don’t end up owing the government money. OUVERT AU PUBLIC : lun. au mer.: 8h à 17h jeu et vend.: 8h à 18h • sam.: 8h à 16h • Aubaines en magasin toutes les semaines • Format détail au prix du gros OPEN TO THE PUBLIC: Mon. to Wed. 8 a.m. - 5 p.m. Thurs. to Fri. 8 a.m. - 6 p.m. • Sat.: 8 a.m. - 4 p.m. • Weekly in store specials • Retail packages at wholesale prices Produits de chez nous préparés spécialement pour vous! Homemade products proudly made just for you! Your BBQ partner!
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farm while still remaining a small farm at heart. Here are just a few advantages:
• If your co-op is big enough, you can hire a dedicated marketer to pro- mote your products. • Instead of everyone competing for the same markets, you can work
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