Ontario Agriculture

The network for agriculture in Ontario, Canada

My OMAFRA troubles and my advice to avoid them

Its never nice to hear of someone facing problems, but its useful to take advantage of the opportunity to avoid them yourself.  My opinion of OMAFRA is greatly tainted, but I am open minded enough to realize most problems could have been avoided.  

At issue is the loss of the farm tax rebate which holds municipal tax rates to, well, basically the equivalent of where they alway were.  Without the rebate, taxes quadruple.  As it stands today, my issue is only with the 2012 tax year.  So how did this happen? Well I bought a farm in 2011, my first farm.  To qualify for the tax rebate, you must have a valid FBR number (Farm Business Registration).  In previous years I didn't have an FBR number, I didn't have any land and the number serves no purpose otherwise.  I was able to farm without this, as my father had an exemption to the requirement for religious reasons applied to the farm land.  That sets the stage.

My first mistake - rather than apply for an exemption, i decided its not worth the effort, i will just conform to the system. Unfortunately, this came after September 30, which is the last day you can apply for a 2011 FBR number.  So although I contacted Agricorp in 2011, i was told i had to wait until Jan 3 to apply, which I did.  And with a bit of hassle to prove my  2011 farm activities grossed over $7,000, I was granted a 2012 FBR number.

Well, the 2012 tax rate rebate is based on the 2011 FBR number.  So when I asked OMAFRA to grant me a startup exemption, which would allow the 2012 tax rate to qualify without the prior FBR, it was denied.  Why? I sold too much grain in 2010, it was over $7,000.  I should have applied for an FBR in 2010, even though I didn't own any land.  So my families help by allowing me to ease into farming caused an issue that would not rear its head for several years.  But it could have been avoided had I applied for an exemption (and been granted) or got an FBR number.  

Now that OMAFRA will not recognize me as a startup, they can not change the tax qualification.  So they send me off to the ARB (Assessment Review Board) to file an appeal.  Its amazing that no such appeal exists in OMAFRA, if you don't like what they say, you must go through another government agency.  

In my first conversations with the ARB, I was instructed to send a letter to the chair for reconsideration.  Which was promptly denied and I was told to talk to OMAFRA.  Yea, thats where I just came from.  

So OMAFRA sends me back to the ARB, this time with a better explanation as to the process I need to follow.

So at this point, I must submit an appeal, which is not free of charge, to get this resolved, if they will even resolve it.

My advice to the new farmer in Ontario, get the FBR before you buy any land or at the very least the start up exemption.  By waiting until after, your path is littered with deadlines and forms and costs you don't need.

In defence of the people on the other end of the phone, they have all been polite and tried to help, several did note I shouldn't need to go through all this, but thats just the way it is sometimes.  

I farm because I am a farmer, I just can't stand that the government has to be so involved in this. But they have the upper hand.  All I can hope is it works out in the end.

Views: 538

Comment

You need to be a member of Ontario Agriculture to add comments!

Join Ontario Agriculture

Agriculture Headlines from Farms.com Canada East News - click on title for full story

Hursh: Court documents reveal scope of Monette Farms' financial challenges

As reported on Wednesday, Monette Farms and its many affiliated companies have filed for creditor protection. The court document filed at Court of King's Bench in Calgary provides insight into the size and scope of Monette's operations and the extent of their financial difficulties. According to the court document, the Monette Group forms one of the largest private farming businesses in North America with operations in Alberta, Saskatchewan, Manitoba, B.C., and the states of Montana, Colorado and Arizona. The group owns approximately 274,000 acres of land and leases approximately 218,000 acres. It also has seed processing and produce storage facilities. The restructuring plan is debtor-in-possession financing, because the applicants are insolvent and don’t otherwise have the finances to seed a crop this spring. Monette did recently sell some farmland, most notably about 13,000 acres near Stewart Valley, Saskatchewan for $54 million. Subsequent activity resulted in two more sales t

Removal of non-tariff trade barrier for flaxseed to the EU reflects confidence in Canada’s agricultural exports

Canada is one of the world's largest producers and global exporters of flaxseed. Our high-quality products are enjoyed by millions of people around the world on a daily basis. May 1, 2026, will mark the official termination of the longstanding Sampling and testing protocol for Canadian flaxseed exported to the European Union (the Protocol). Removal of this non-tariff barrier, that has been in place since 2009, is a recognition of the safety, reliability and quality of Canadian agricultural and agri-food exports. This demonstrates the strength of the Canada-EU Strategic Partnership and a shared commitment to resolving long-standing trade irritants through cooperation and dialogue. In July 2009, trace amounts of an unauthorized genetically modified flaxseed called CDC Triffid was detected in a Europe-bound shipment, leading to the immediate and temporary cessation of flaxseed exports. Following the detection, AAFC worked diligently with the Canadian Grain Commission (CGC), industry par

Cereals Canada Releases "Securing Global Markets for Canadian Wheat" Report

Cereals Canada today released its new report, Securing Global Markets for Canadian Wheat, during a webinar that brought together farmers, researchers, plant breeders, and value chain partners from across the sector. The report outlines how targeted market development, technical engagement, and science-based policy advocacy are helping to protect, maintain, and grow global demand for Canadian wheat in an increasingly complex trade environment. Canadian wheat is exported to more than eighty international markets each year, with over twenty-eight million tonnes expected to ship globally in 2025–2026. Canada is the world's number one exporter of durum wheat and oats and is on track to be the third-largest wheat exporter overall, reinforcing the importance of diversified and stable international demand. The Securing Global Markets for Canadian Wheat report provides a snapshot of six international markets that were part of Cereals Canada's 2025 market development activities. These activiti

Monette Farms Seeks Court Protection as Mega-Farm Restructures Amid Financial Pressures

Monette Farms has entered court-supervised restructuring under the Companies’ Creditors Arrangement Act while continuing operations across Canada and the United States.

Removal of non-tariff trade barrier for flaxseed to the EU reflects confidence in Canada's agricultural exports

Canada is one of the world's largest producers and global exporters of flaxseed. Our high-quality products are enjoyed by millions of people around the world on a daily basis.

© 2026   Created by Darren Marsland.   Powered by

Badges  |  Report an Issue  |  Terms of Service