The British Columbia Cattlemen’s Association says the province’s new harmonized sales tax will reduce taxes for many ranch businesses.
The association said it has noticed that accounting is easier under the new system, and producers are eligible to apply for a refund on all items they use on the ranch.
Agriculture businesses were exempt from the former provincial sales tax only on items that were on an approved list. The cattlemen’s association said the list didn’t include everything that ranchers need to conduct business, including some types of farm tractors.
The HST system is estimated to save ranch businesses an average of $2,000 annually.
The association also welcomed the provincial government’s proposed two percent reduction in the HST.
