Subsection 28(1) - Farming or fishing business
Cases
Hadler Turkey Farms Inc. v. The Queen, 86 DTC 6013, [1986] 1 CTC 81 (FCTD)
Jerome, A.C.J. held that although s. 28 should be interpreted as giving to the taxpayer "the open-ended option to switch from the accrual method...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Income Tax Act - Section 152 - Subsection 152(4) | 63 |
Pollon v. The Queen, 84 DTC 6139, [1984] CTC 131 (FCTD)
"There is no requirement whatsoever that the taxpayer be personally engaged in any physical sense in the farming activity. Gentlemen or absentee...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Income Tax Act - Section 248 - Subsection 248(1) - Farming | mechanized chicken farming | 75 |
| Tax Topics - Statutory Interpretation - Ordinary Meaning | 60 |
Administrative Policy
26 November 1992 T.I. 923506 (September 1993 Access Letter, p. 411, ¶C20-1161)
A post-dated cheque received under the Gross Revenue Insurance Program, that is accepted as security for the debt owing to the taxpayer without...
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|---|---|---|
| Tax Topics - General Concepts - Payment & Receipt | 79 |
26 May 1992 External T.I. 5-920606
An advance received by a cash-basis farmer on the delivery of corn to a private grain elevator will be treated as income rather than as a loan.
11 October 1991 T.I. (Tax Window, No. 11, p. 17, ¶1522)
Where a cash-basis farmer pays for feed prior to the year end, he will be permitted a deduction in the year of payment provided that he obtains...
5 March 1991 T.I. (Tax Window, No. 1, p. 17, ¶1133)
Where a cash-basis farm ceases operations, payments made thereafter for accounts payable incurred by the farmer while he was operating the farm...
10 September 1990 Memorandum (Tax Window, Prelim. No. 1, p. 8, ¶1010)
Discussion of fiscal period issues respecting a bankrupt farmer.
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Income Tax Act - Section 128 - Subsection 128(1) | 10 |
28 May 1990 T.I. (October 1990 Access Letter, ¶1488)
Where inventory purchased by a farmer is much greater than the requirements of his farming business as would be the case where he consistently...
19 September 89 T.I. (February 1990 Access Letter, ¶1103)
A crop which has been grown from purchased seed would not be included in purchased inventory for purposes of s. 28(1)(c). However, trees which...
Paragraph 28(1)(a)
Administrative Policy
21 February 2002 External T.I. 2002-0123905 - ADVANCES RECEIVED BY A CASH BASIS FARMER
After stating that “we have found that cash advances received for crops are generally income when received” but that “advances received...
2 April 1998 Roundtable, E9722066 - PROMISSORY NOTE -WHETHER PAYMENT OF DEBT?
Respecting the transfer of inventory by a cattle farmer for a promissory note, CRA stated:
[B]oth the Bill of Sale and the Purchase and Sale...
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|---|---|---|
| Tax Topics - General Concepts - Payment & Receipt | promissory note accepted as absolute payment for the transfer of s. 28 inventory | 85 |
Paragraph 28(1)(b)
See Also
Tinhorn Creek Vineyards Ltd. v. The Queen, 2005 TCC 693
The Minister disallowed the taxpayer’s election to use the cash method on the basis that it did not have a farming business but instead was...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Income Tax Act - Section 4 - Subsection 4(1) - Paragraph 4(1)(a) | viticulture and estate winery one business | 139 |
Administrative Policy
22 September 2016 External T.I. 2015-0594721E5 F - Inventory of animal meat
May a taxpayer include ground or cut meat ("processed meat"), obtained by slaughtering and processing animals raised by it, in inventory of an...
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|---|---|---|
| Tax Topics - Income Tax Act - Section 4 - Subsection 4(1) - Paragraph 4(1)(a) | meat processing operation included in farming business if incidental | 134 |
Paragraph 28(1)(c)
Administrative Policy
23 September 2014 External T.I. 2013-0509021E5 F - Rajustement obligatoire
In the course of confirming its position in 9328315 F, CRA stated (TaxInterpretations translation):
[S]ows or boars which are still in inventory...
Paragraph 28(1)(f)
Administrative Policy
27 June 2018 External T.I. 2018-0745681E5 F - Wind-up of a partnership
On January 1, X9, the three members of a family farming partnership ("Partnership") transferred their interests in Partnership to a jointly-owned...
| Locations of other summaries | Wordcount | |
|---|---|---|
| Tax Topics - Income Tax Act - Section 84 - Subsection 84(3) | no s. 84(3) dividend on cancellation of preferred shares of Opco held by partnership on its wind-up into Opco | 165 |
| Tax Topics - Income Tax Act - Section 98 - Subsection 98(5) | s. 98(5) inapplicable on simultaneous dissolving transfer of partnership interests | 167 |
Subsection 28(5)
Administrative Policy
22 October 2002 External T.I. 2002-0162835 F - Recbles Recd. after Disp. of Farm. Bus.
Mr. A, who used the "cash method" to compute his income pursuant to an election under s. 28(1) from his farming business, transferred that...