TV/Movies Megathread

[HVC]

Reversing it is dumb if it is indeed a loophole. Just raise the cutoff.

It's probably my bias, but when I lived in farm country farmers would cry poor while driving into town to cash their grants in fancy new cars itching to get back home to their newly built McMansions

[HVC]

Yes. It's good. He does a nice job in showing the importance of very left wing things to his core right wing audience.

Though I am skeptical of this series. He has been part of the silly reaction to asking wealthy farmers to pay a little inheritance tax.

Around here, we try to foster in family inheritance of farms. Why are you guys looking to have them sold to Chinese interests?

While Canada doesn't have an inheritance tax, it kind of does since the estate pays it before the person inherits it. There are a few exemptions. I know about primary residence and spousal deferals. I just looked up farms and got this:

"Lifetime Capital Gains Exemption (LCGE): For eligible assets like Qualified Small Business Corporation Shares (QSBCS) or Qualified Farm and Fishing Property (QFFP), the CRA allows a major capital gains exemption of up to $1.25 million"

And that's on the capital gains, so 50% of actual gains. With the crazy increase in property values the next generation of farmers might be screwed.

So basically Canada has what the UK was trying to do.

Double caveat this time. Standard google warning plus adding that I'm not a tax expert so bare that in mind

[Grey Fox]

Yes. It's good. He does a nice job in showing the importance of very left wing things to his core right wing audience.

Though I am skeptical of this series. He has been part of the silly reaction to asking wealthy farmers to pay a little inheritance tax.

Around here, we try to foster in family inheritance of farms. Why are you guys looking to have them sold to Chinese interests?

Eh?
We aren't. Where are you getting this?

Sheilbh provided more information about the UK government uturn on this but if farmers kids can't inherit their parents farms, the farms get sold. China is spying all over you guys so I was making a play on that.

As to where I get this : This thread & I finished episode 2 of Clarkson's farm season 5.

[garbon]

Following in Syt's footsteps, I've been watching Cheers. While there are of course some aspects that could certainly not be permitted today, it is surprising how well it stands up with a lot of current sensibilities/humour.

One thing that does not hold up well is what would definitely now be called sexual harassment on the part of Sam. Particularly once Kirstie Alley joined the cast. Repeatedly letting your uninterested boss that you want to have sex or laughing with your colleagues and customers about her being Backseat Becky is pretty low.

[crazy canuck]

Yes. It's good. He does a nice job in showing the importance of very left wing things to his core right wing audience.

Though I am skeptical of this series. He has been part of the silly reaction to asking wealthy farmers to pay a little inheritance tax.

Around here, we try to foster in family inheritance of farms. Why are you guys looking to have them sold to Chinese interests?

While Canada doesn't have an inheritance tax, it kind of does since the estate pays it before the person inherits it. There are a few exemptions. I know about primary residence and spousal deferals. I just looked up farms and got this:

"Lifetime Capital Gains Exemption (LCGE): For eligible assets like Qualified Small Business Corporation Shares (QSBCS) or Qualified Farm and Fishing Property (QFFP), the CRA allows a major capital gains exemption of up to $1.25 million"

And that's on the capital gains, so 50% of actual gains. With the crazy increase in property values the next generation of farmers might be screwed.

So basically Canada has what the UK was trying to do.

Double caveat this time. Standard google warning plus adding that I'm not a tax expert so bare that in mind

Yeah, it's a big problem in this country. There is a deemed disposition of the land triggering the capital gain tax, which as you point out will be large.  I have heard mutterings about addressing this in the tax code. If it is not addressed, then all the small acreage farmers will be wiped out because the next generation will need to sell just to pay the tax bill.

To avoid fire sale circumstances, some are selling proactively.

The corporate interests who acquire the land don't have this problem because of course the owner never dies...

[HVC]

Not tied to farm specifically, but I do know that people are using life insurance to offset these taxes. Works for middle and not overly wealthy upper class, but after a certain threshold you don't get enough from insurance. So if used small farms might be ok. Medium sized and large farms not so much.

[crazy canuck]

But it's also a significant risk. If the whole of the life insurance proceeds are used to pay the tax burden?then the family is betting everything on the productivity and profitability of the farm. And in an age of global warming, that may not be a good long-term bet.  Or even short-term bet.

It'd be much better if the tax policy was rationalized to put less burden on the continuation of family farms.  Say for example, in increasing the tax on corporate farms to offset the revenue, that will be lost by giving the family farms a break. Right now the system is heavily weighted in favour of large scale, corporate farming.

[HVC]

Fair point. I'd favour a forced deemed disposition for corporate farms every 40 years (or whatever the average numbers of years for a regular farm is). That puts both at more even footing, could perhaps even give pause to ever expanding land acquisitions.