New Ontario Gov’t Tax Credit to Benefit Farmers and Communities

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A new tax credit is helping put nutritious, fresh, locally grown food on the plates of those who need it most.

The Food Donation Tax Credit for Farmers — the only one of its kind in Canada — is giving farmers a tax credit valued at 25 per cent of the fair market value of the agricultural products they donate to community food programs, including food banks and student nutrition programs.

The tax credit is a part of the Ontario government’s local food strategy and Local Food Act, 2013 to promote the good things that are grown and harvested across the province.

Building a stronger agri-food industry is part of the government’s economic plan to support a dynamic and innovative business climate, invest in people and invest in infrastructure.

QUOTES

“This new tax credit will help farmers donate more fresh food to their local food banks, which will support our farmers, drive local economic growth, and benefit families in communities across the province.”

— Charles Sousa, Minister of Finance

“This new tax credit is an integral part of our government’s commitment to support farmers, increase access to nutritious, locally grown food and promote the good things that are grown right across the province.” Jeff Leal, Minister of Agriculture, Food and Rural Affairs

“This new tax credit is an integral part of our government’s commitment to support farmers, increase access to nutritious, locally grown food and promote the good things that are grown right across the province.”
Jeff Leal, Minister of Agriculture, Food and Rural Affairs

 

“Ontario’s farmers have a long tradition of donating their agricultural products to charitable causes, and we believe this credit will both honour that tradition and help motivate others to donate.”

Neil Currie, General Manager, Ontario Federation of Agriculture

“Everyone should have the opportunity to enjoy local food, and we applaud the Ontario government for introducing a tax credit that will encourage more farmers to make that food available to families and individuals who need it most. Many food bank clients do not receive the recommended daily servings of fruits, vegetables, and protein, which causes additional strains on one’s health and well-being. A balanced diet with local, fresh, and nutritious foods will help improve the health of food bank clients as well as the health of communities across Ontario.”

— Bill Laidlaw, Executive Director, Ontario Association of Food Banks

“Hamilton Food Share has focused on increasing the amount of fresh product distributed to local emergency food programs as the thousands of people who visit a food bank do not have access to fresh food on an ongoing basis. We remain deeply committed to food security and we believe the new tax credit for farm donations will help us forge new partnerships within the agricultural sector in our community.”

— Joanne Santucci, Executive Director, Hamilton Food Share.

QUICK FACTS

One-third of the 375,000 Ontarians served by a food bank every month are children.
More than 600,000 children and youth participate in breakfast, snack and lunch programs in communities across Ontario.
Under the proclaimed legislation, farmers can claim the new tax credit for donations dating back to Jan. 1, 2014.
Ontario’s agri-food sector contributes about $34 billion to the province’s economy and supports more than 740,000 jobs across Ontario.

LEARN MORE

Find local food sources and organizations on the ministry’s Local Food webpage

Ontario Association of Food Banks

Ontario Student Nutrition Program Network

Student Breakfast Clubs

Seasonal recipes at Foodland Ontario

1 Comment to New Ontario Gov’t Tax Credit to Benefit Farmers and Communities

  1. Toby Barrett

    Farmers, food banks and the needy will now benefit from Local Food Act
    Good news for farmers, food banks and the needy as one of the most important aspects of the Local Food Act is proclaimed.
    My colleague Bob Bailey, MPP for Sarnia, has been working for five years on a tax credit for farmers who donate their products to their local food banks. The tax credit was originally proposed by Bailey as a Private Members Bill and later as an amendment to the Local Food Act. The idea was one of the last remaining items of the legislation that still needed to be proclaimed — people were starting to ask questions as to why it wasn’t yet in place.
    I have been vocal on the issue over recent weeks as the amendment will give farmers a non-refundable tax credit worth 25 per cent of the wholesale value to farmers who choose to donate. He said it will also help some of society’s most vulnerable who could benefit from fresh local food.
    Toby Barrett, Haldimand-Norfolk MPP and Opposition Agriculture, Food and Rural Affairs Critic519-428-0446, 1-800-903-8629

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