HomeMy WebLinkAboutClinton News-Record, 1979-03-08, Page 12He advised if family
members do incorporate
an operation, then the
farmer shouldn't put his
farm into it, since this
can create a problem if
one meniber of the family
wants out at some future
date.
Mr. McEachern said
transferring • a family
,a. farm from a father to son
can cost as much as
$100,000 in avoidable
income taxes unless the
farmers can get someone
who really knows the tax
legislation to assist in the
transfer.
By handling a roll-over
properly, Mr.
McEachern said you can
pass the capital gains tax
down four or • five
generations down the
line, so the taxes, won't
have to be paid for 30 to 40
years.
The problem in roll-
overs however, is .that
many accountants aren't
familiar enough with
provincial and federal
legislation in transferring
property. The tax con=
sultant told the audience,
"I, know only three ac-
countants who can do a
roll-over properly."
The rights of federal
auditors in demanding
access to farm records
was also questioned by
members of the auditors.
Mr. McEachern told ,
the members that
Revenue Canada can
examine all of a farmer's
records, as long as they
do it at the farm.
"They aren't allowed to
take them (the records)
out without your per-
mission unless they have
special identification to
seize your records, if they
do, that's when you're in
trouble," the tax con-
sultant said.
He said the threat has
•been used by auditors,
"well, if you don't want to
give them (records),
we'll take them" but
records can't be removed
fro n a farmer's home
except for a special in-
vestigation.
He said if the auditors
used any of the in-
formation on the farm
records o4tside the audit
procedure, then they
would lose their jobs.
Also, he advised the
audience that they now
have a right to go into a
Revenue Canada office
and view their file under
new government
legislation.
He said if farmers are
unhappy about the audit,
there are appeal
procedures they can
follow when the audit is
completed.
The tax consultant also
told.the audience he feels
the Canfarm accounting
service is an excellent
one as ' long as in-
formation is fed into the
system correctly.
In other business, the
Huron County Federation
of Agriculture decided to
withdraw an earlier
resolution on binder
twine and support the
resolution made by the
Canadian Federation of
Agriculture.
The national body has
asked the government to
withdraw their in-
vestigation by Revenue
Canada on the coun-
tervailing duties s_ipr
bailer twine because of
purported subsidies : in
countries such as Brazil,
Mexico and Tanzania.
The resolution said
these countries produce
the only sisal twine
available, since it can be
grown only under certain
climatic conditions. Also,
many Canadian farmers
prefer the sisal twine to
the plastic twine
manufactured in Canada,
since the sisal is bio-
degradable.
The federation said
they didn't feel the
present situation was
harming the Canadian
binder twine industry,
since only plastic twine is
produced in the country.
Andy Durand, a Zurich
arca farmer, reported he
had been unsuccessful in
investigating the amount
of foreign land ownership
in Hay Township.
Mr. Durand said the
township clerk and the
regional taxation office in
Goderich both refused to
give him information on
foreign ownership in the
township.
Doug Fortune said his
township council also
turned down a similar
request for foreign
ownership information,
since it would involve too
much work for the
township clerk to
research the information -
from the tax roll.
Jing McIntosh, a
Seaforth--area farmer and
form'er clerk of
•Tuckersmith Townships
suggested federation
members could gain
access to this information
if they were prepared to
go through the township
tax rolls theniselves.
PAGE 12 --CLINTON NEWS -RECORD, THURSDAY, MARCH 8. 1979
Development �fficer need
The need for a
development officer for
Huron County came
under close scrutiny
recently when the
Christian Farmers'
Federation mgt in
Clinton. President Bill
Jongejan wanted
opinions from members
on development in Huron
County.
"We pay $17,000 a year
to Spence Cummings
Huron County develop-
ment officer for him to
attract industry to Huron
County" said Mr.
Jongejan. "But is it
necessary?" Members
were divided about the
-issue.
"We can't' have our
cake and eat it too," said
CFFO member John
Maaskant. "Industrial
parks and later, sub-
divisions put pressure on
agricultural land. I would
like to see Huron county
stay agricultural."
A member pointed out
that a lot of the young
people from farms find
employment in the small
industries in Huron
County and even many
farmers take part-time
jobs to supplement farm
incomes.
"Industrial planning is
not done on a provincial
scale but left up to the
counties" said Mr.
Jongejan. "That's why
the position of develop-
ment officer was
created."
Fieldman for CFFO,
Martin Oldengarm said
members needed more
information and research
into the matter.
Mr. Jongejan
suggested that a com-
mittee of concerned
members attend the
Porter Commission
inquiry hearings in the
area in March. The
hearings are concerned
with the location of a
power corridor through
the province.
"To pick Huron county
for a nuclear plant would
be a tragedy," said Mr.
Jongejan.
The possibility of a corn
marketing agency was
discussed. Mr. Jongejan
relayed information he
learned while attending a
CFFO board meeting
where a cordt board
representative spoke. It
has been proposed that
the corn board will
regulate drying and
handling costs, by
licensing elevators. For a
farmer to qualify he must
sell 10 tons of corn. Mr.
Jongejan told members
that the proposed corn
board would like to
promote advance
payment to farmers and
would also provide
educational material.
Members are to contact
the CFFO office in
Drayton if they want a
general interest meeting.
Brian Miller, (right), 26, of Exeter receives air-
plane ticket to Paris, France, from Jack Hale,
Ontario Federation of Agriculture general
manager. Mr. Miller is one of four Junior Farmers
selected to represent Ontario at the Second World
Congress of Young Farmers, March 5 to 8, at Paris.
news farm news
A good accountant helps, HFA learns
by Alice Gibb
Getting a good ac-
coutant, one who is
knowledgeable about
farming and familiar
with provincial and
federal legislation
covering farm transfers
or partnerships, is the
best way farmers can
deal with tax problems,
according to a Grand
Bend tax consultant.
Bill ''McEachern, who
„worked for Revenue
Canada for 30 years, and
now operates his own
firm, told a meeting of
the Huron ' County
Federation of Agriculture
in Clinton last week that
any farm transfers
between family members
or any farm sales are
being carefully checked
today when capital gains
taxes are filed.
Mr. - McEachern said
although husband -and -
wife partnerships may
provide a slight tax credit
and pension advantages,
there are pitfalls.
The consultant said in
order to have a legal
partnership
arrangement, the farmer
must prove his wife
contributes both capital
and labour to the farm
operation.
He said the labour
contribution is the most
important aspect of the
partnership to prove.
Bev Brown a federation
member, said an Eastern,
Ontario farm women's
organization has
recommended that
women in partnership
arrangements keep a
daily schedule of their
labour on the farm and
get witnesses such as vets
or R.O.P. men who may
visit the farm to witness
their contributions to the
farming operation.
Mr. McEachern Said
while the taxation
department recognizes
the wife as a partner in
the operation, the Farm
Credit Corporation
doesn't take the wife's
labour into account.
Many of the questions
at the meeting dealt with" -
the transfer or "roll-
overs" of property and
assets from a father to a
son. Mr. McEachern
advised the audience to
consider profit-sharing
arrangements rather
than a full partnership
operation since the ac-
counting costs are way
out of line when a father
and son go to divide the
farm assets.
in a profit-sharing
arrangement, each
partner would have their
own assets, and "a son
could buy a new tractor
without his father's
permission."
Mr. McEachern told
members he doesn't
recommend• ' in-
• corporatiing a farming
operation, unless part-
ners are making between
$20,000 to $30,000 each
year, since incorporation
,brings "accounting fees
and troubles .to farmers."
Concrete on the farm
There are very few
farmers who have done
any building projects
without making some use
of concrete. It is a very
"widely used building
product, but it is probably
the least understood.
The Ontario Ministry of
Agriculture and Food in
Clinton is sponsoring an
information day on uses
of concrete on the farm,
to be held on March 13
from 9:30 a.m. until 3
p.m.
Speakers will be
present to talk about such
things as making quality
concrete, the use of.
reinforcing steel; con-
struction joints, finish on
floors, preparation of
floors for animals,
sandwich wall con-
struction, as well as how
1
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Livestock Department
Toronto
Ship your livestock
with
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Dashwood
Monday is shipping
day from
Verna Stockyard
previously
Roy Scotchmer
Call Dashwood 230.2707
or $ayfield 053-2036
•y f:3$ a.m. Monday
for prc rapt seririce
No charges on pick -Up
the metric system affects
ordering concrete. There)
will be plenty of time for
general discussion.
This day will be open to
farmers, contractors,
and anyone else who
would like to attend.
Anyone planning to do
any building in the near
future would probably
benefit from this day. The
session will be held in the
Board Room at the
Agricultural Office in
Clinton. A lunch will be
provided !at a small
charge. . L
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•
Huron County Board of Education
KINDERGARTEN
REGISTRATION
Children must have been born in 1974 to be eligible for
the Kindergarten classes for the 1979-80 school year.
Huron County Health Unit will be in attendance to hold
a clinic at the same time.
Would parents who plan to register children at the
following schools, please call IMMEDIATELY and leave
name, address, telephone no. (or an alternate one) so
that appointments can be made for these combined
clinics and registrations.
Parents are asked to bring proof of age, OHIP number
(of either parent) plus completed questionnaire which
will be sent out by the Health Unit In advance.
••••••I•••••••••••••••
CLINTON PUBLIC SCHOOL
Phone the Health Unit Immediately at 482-
3416 for an appointment time on Registration
Day.
REGISTRATION DAY: MONDAY, APRIL 2
FROM 9:00 A.M. - 3:30 P.M.
••••••••••i•••••••••••
HURON CENTENNIAL
PUBLIC SCHOOL '
Phone the Health Unit immediately at 527-
'1243 for an appointment time on Registration
Day.
REGISTRATION DAY: -THURSDAY, MARCH 29
9:00 A.M. - 3:30 P.M.
••'••••••••••••••••••••
HULLETT CENTRAL
PUBLIC SCHOOL
Phone the School at 523.4201 for an appoin-
tment time on Registration Day.
REGIStRATION DAY: TUESDAY, APRIL 3
9:00 A.M. - 3:30 P.M.
unior Farmers gain at IPM
BY
JOYCE DOUGHERTY
The Huron County
Junior Farmers met at
the Clinton OMAF office
on Wednesday, February
21.
Bill Armstrong,
President, opened the
meeting with all present
singing the Junior
Farmer Song. Sharon
Colclough then gave the
secretary's report of the
January meeting.
Helen 'Brindley, last
year's treasurer, gave
the financial statement
from 1978. The group has
a balance of about $1,000
due to the money made
from the Junior Farmer
food booth at the Inter-
national Plowing Match.
Business discussed at
the meeting included the
'emi-formal to be held at
the Exeter Recreation
Centre on April 6. The
king and queen com-
petition will be held at
this time. Each of the five
clubs, Auburn, South
Huron, West Huron,
Seaforth andowick, are
to elect one girl and one
boy to represent their
Corn growers aid
Ontario corn growers
desperately need a voice
for their side of the in-
dustry. A, marketing
board for corn will do just
that and a lot more for the
farmer. That comment
comes from the newly
elected chairman of the
Provincial Corn
Marketing Committee,
Max Ricker.
The 48 -year-old Dun-
nville farmer announced
that the committee now
has a 12 -person board
with representation from
each region in Ontario
from the "great south-
west" to the "Ottawa
Valley."
"Right now the- Wcpmt•
mittee is spreading the
word about our proposal
and throughout 1979
public meetings will be
held for all Ontario corn
growers,", explained
Ricker.
the corn board that
will work most ef-
fectively is a negotiating
type, styled after the
Soybean Growers Board.
By negotiating with the
elevator trade, drying
and handling charges,
equality and fairness will
be accomplished for all
growers. Better prices
will be realized by
negotiating premiums for
high quality corn. We can
also help the corn grower
by having a say in how
government stabilization
levels are set and we
would also administer the
cash advance program.
Finally, since the Ontario
corn grower produces a
surplus to the domestic
need, a corn board would
be a promoter of export
sales."
Ever since the corn
board concept was
conceived by the Ontario
Federation of
Agriculture, and even
today, there seems to be a
misunderstanding by ,the
farmers about the
board's structure.
"I want to set the
record straight," . em-
phasized Ricker. "This
board will not buy or sell
corn, nor will it set a
price for corn. The
commodities market in
Chicago will provide that
function."
This 900 acre corn
grower from the region of
Haldimand wants to
assure his fellow growers
that only when all
growers are informed
about the proposal will an
expression of opinion poll
be held to get the plan
legislated.
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the warranty requirements for new
cars. D -MO Is also the Ideal oil for
diesel engines — including hirbo.
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Multi -Grade 15W-40.
club in this competition.
Jean Siertsema Is
chairperson of this
project. .
The Bluewater Centre
summer project was also
discussed. One person is
needed to purchase
seeds, plant, raise, care
for and cultivate produce
to be sold from the
garden at the Bluewater
Centre. This person must
also work and participate
with the residents who
will be helping with the
garden also. Applications
are to be sent to Len
MacGregor, at Clinton.
The 1979 annual Junior
Farmer meeting will be
held at Toronto's Inn on
the Park Hotel on March
16, 17 and 18.
Representatives will be
present from all over
Ontario. Best luck to Jim
Phelan who was vice-
president this past year
and who will hopefully be
promoted to the
President's position this
year.
Plans were discussed
for a reunion barbecue
for Junior Farmers
during the summer and
the summer games and
dance.
Seaforth Junior Far=
mers are holding a
broomball tournament on
March 3 and 4 with a
dance to follow on
Saturday night.
With all business
concluded, the meeting
was then moved closed.
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prices on oils & greases, you
can receive a COOP Farm
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(10 lbs. of grease counts as the equivalent of 1 gallon of oil.)
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