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Section Two The Canadian Statesman, Bowrnanville, December 7, 1977 7 Fruit and Vegetable Growers To lMeet ji The 82nd annual Niagara Peninsula Fruit and Vege- table Growers' Association convention and machinery show will be held at the Sheraton-Brock Hotel, Niagara Falls, December 7 and 8. Norris Haag, Association secretary, estimates 300 ta 400 people will attend the confer- encle each day. Although delegates ta the conference are primarily growers, con- surners are invited ta attend. Land Use will be the tapic for the morning panel discus- sion, December 7. Panelists include Vern Spencer, director of the F1ood Land Development Branehb, Ontîario Mvinistry of Agriculýture and By Rodney Stary, Associate Agricultural Representative Farmn Tax Management an 1Asset In a recent newscolumn we discussed the Importance of using your, farma records to indicate where you stand with regards to Incarne Tax before the end of the fiscal year. In that column, we emiphasized that in carrying out farm tax management you shýould look at nat only the cuirrent situation, but the long-terrn effects of rnaking any tax management decisions. We pointed out that there were a number of things that far mers could do witin the fiscal year ta either lower or raise their incarne position., Such things as:pucaigadtnalie stockfor cash', paying out- standing accoupts on current expenseitm such as seed and fertlizer, prepaiying seed Food; Alan Beal, director of planning for the Niagar.a Region, and Gary Cook, secre- tary-treasurer of the Niagara Land Division Cornmittee. At the Assocîation's annual meeting during the afternoon,, delegates will hear committee reports, 'eleet officers, and present resolutions. One of the highlights of this year's convention will be the Family Night program, December 7. The Honorable Eugene Whelan, féderal Min- ister of Agriculture, will be the guest speaker. The rnorning session, December 8, will deal with topics such as the new Ontario food promotion campaign- Foodland Ontario, tariff legis- and fertilizer for the corning year and purchasing new farma equipment are ways in which you can reduce your taxable incarne. If you wish to increase tixable incorne, you can colleet outstanding accounts receivable an current incarne items, seli more ivestock and crops if they are ready for rnarket and delay paymnent of current expense type charge accounts until the new year. We would like to, mention some of the other areas that we are now starting ta receive questions on with regards to farm tax management. Some of these considerations can be done at the time of Incorne Tax filing while others such as payrnent of wages to children mnust be done within the fiscal year. One of the areas that cornes up each year is with regards ta the aveiaging of Rotary Club Holds Rural-Urban Meeting in Enniskillen o n D -ec.0 -7 lation, consumer marketing relations and farm business management. Separate sessions for field vegetable growers and fruit growers will be held during the afternoon. Fruit seýssions will deal with the Ontario tree fruit census, mechanical harvesting, grapes for the fresh market, viticulture, and the use of Benlate in orchards. Topics for the field vegetable session include soil drainage, bacterial disease in tornatoes, and the use of growth regulators on vegetables. Thirty-five exhibitors will participate in the machinery show ta be held in conjunction with the convention. incarne and the variaus pro- visions that are available to farmers. Under the present Income Tax Act, there are three averaging provisions available to farmers. General averaging is introduced as part of the new Income Tax Act where the Tax Depart-, ment looks at each taxpayer's individual return and if his income is 110 per cent above the previous year, and 120 per cent above the averaging period for the previous four years, an automatic average will take place. A farmer does nat have to do anything to initate the general averaging and in rnany cases, farmers are surprised when they learn that they are receiving a rebate back from the Tax Department because of general averaging provisions. The five year block average is still available to individual farmers. It is a five. year backward average consisting of the current year, and the four previous years. An in- dividual must elect ta use the five year block averaging and the form that is used must be included with the tax return for the year of averaging. This type of avera ging is. very useful ta farmers, especially those where incarnes fluctuate quite dramatically, rnost noteably beef and cash crop farming in this current year. Wth the low price of corn this . .. .. . . .. .. .. e an c & fler:0.1 ercettumle * Z,, 40 N 000**0eo e,,e e,,, 3 E C1s el Bod t.W PHN 78921VS Bowmanville Rotary Club moved their meeting to Enniskillen last week as part of the rural-urban .program which they hold each year in varjous spots in the municipality. Assistant Deputy Minister of Agriculture and Food Ken Lântz, above centre, was the guest speaker for the meeting, held at the Enniskillen United Church last Wednesday night. The speaker received a faîl, the five, year block average provisions might be sornething that cash crop farmers would want ta look at when they are doing their incarne tax filing for 1977. The other averaging rnethad available ta farmers is the Incarne Averaging Annuity Contract. This is forwarding averaging provision and is avaîlable for unusual incarne such as that which occurs at time of changing or ceasing business or retiring. The annuty must be the specific type required and in most cases this is available from Insurance and Trust Companies. The individual farmer makes a single premiurn payment, and the maximum deduction frorn incarne is his eligible income less one year's annuity incarne. If you have gone'out of, business in 1977 or dis- persed your livestock herd-or possibly sold some land, the Forwarding Averaging Annuity provisions are avail- able ta you and should be looked at very carefully. Individuals are reminded that the contracts mnust be pur- chased within sixty days of the end of the fiscal year, that is if, you are fifing your tax return on a calendar year basis your forward averaging annuity contract would have ta be bought before Febru ary 28th, 1978. We have encountered problems in this area whiere farmers have not done this soon enough and consequently do not qualif y., Many farmers are familiar with the basic herd concept that was in effect up until a few years aga. Many farmers still have a basic herd listing, however, it is limited and in its use as a tax management tool. A new1 provision that was introduced recently is the Livestock Inventory Provi- sion. This can be used an a yearly basis to elirninate loss situations, to maintain income at a desired ýlevel ta obtain fuller benefits under the Canada Pension Plan, particu- larly if the farmer is nearing retirement or when subse- quent income is expected ta be considerably higher. With the Livestock Inventory Provi- sion, any livestack farmer should show a loss or even report income that does not at least exceed bis personal exemptions. The provisions are very flexible under the ternis of the Livestock Inven- tory section, and further sample of one of the best known agricultural roucts that the area has to offer, after the program. Above, Mayor Garnet Rickard, right, a member of the club, presents a hamper of Delicious apples while the department's Bowman- ville branch administrator, Dal Dairymnple looks information on haw ta make use of it can be obtained by contacting the Agricultural Office or sitting down with your accountant and seeing how it might fit into your operation. Other ways in which you rnight reduce your taxable income and at the same time provide for your future retire- ment needs or having family members becorne more in- volved in the farm operation include Registered Retire- ment Savings Plans, and the paying of children far work done on the farm. Information on these two areas can be obtained from your accaunt- ant or by getting in touch with the Agricultural Office. A fact sheet entitled "Farnily Mem- bers as Wage Earners - 1977" is available at the Agricul- tural Office, and outlines in detail the procedures to follow ifyou are going to pa-y your, children a wage for the work that is done. The best source of informa- tion that a farmer can obtain is the 1977 Farmers and Fishermen's Incorne Tax Guide. We have received advanced copies of this book in our office and would expect that copiesfor general distrib- utian will be available at the Post Office early in the new year. In addition, most farmers who have filed incarne tax usually receive a copy of the Incarne Tax Guide with their tax return. A good deal of information on various deductions and other incarne tax questions can ta abtained by gaing thraugh this book in detail. Renewed Interest in Low Temperature Drying Increasing energy costs have renewed interest in law temperature drying systems', and this is especially notice- able this past fali with a number of different types, of low temperature systems being put into place across> the county. Low temperatue drying systems unlike conven- tional corn dryers which use temperatures af up ta 220 degrees F. ,operate wi-.th little or no heat. They uSe natuiral air blown in by fans from the base of a large storage bin. In sarne case, heaters are instal- led ta warm the air and reduce the relative humidity of the drying air. The advantages of the law temperature drying system include reduced energy con- sumption, uniform maisture Poet's Corner WINTER'S COMING Lowering skies, starrny grey Heralding winter on its way Féel the cold November chili Sheep huddling on the hill. Canada geese have already gone thraughout the corn and higher corn quality. Because the corn is dried and stored in the same bin, handling and capital investment costs are also reduced. Despite the advantages, there are also disadvantages ta the low temperature system. In order ta, operate efficiently the low tempera- ture dryer needs dlean and outside temperatures between 30 - 50 degrees F. or 0 - 10 degrees C. Relative humidity of the air should not exceed 75 per cent. In Ontario, however, humidity levels often can reach mare than 80 per cent, especially in November and December. Because the air is s0 moist, producers would have to add heat ta dry the carn quickly enough to avoîd spoilage. The low temperature drying method could then take weeks or even months ta reduce moisture content ta 15.5 per cent or less for proper storage. This is one of the problerns that is bemng laoked at in a number of systerns across the country, ta that on-f armà experience can be gained on the problems that can be incurred if tempera- tures do not faîl within the necessary range. S(Exc jiLA S237 Kii HOURS: Chattering as they winged along Out over the grey blue lake Leaving sadness in their wake. Horses growing their winter ,coats Cold doesn't trouble the hardy goats Chiekens flot straying far frorn home Seagulîs fly inland loth to roam. Hawk-keeping its lonely vigil Chainsaw working for the woodpile Srnoke eddying to the sky With the grey clouds to vie. Everything in for the winter Barrels of apples in the cellar Squash, onions, potatoes, Greenpeppers, carrots, tomatoes. Trees sadly. their faliage losing Long evenings for fireside musing Snow-fences up inpreparation Ready for the deep banks drifting. Winter clothes out of storage Back to hot breakfast with porýrdget Ah, one brPht thought, there's skiing That rnust be the reason for winter's being. Oh, what a wonderful country we live in Let our grumblings be forgiven After the winter, there's the spring, Then wonderful summer back again. -Mary Stewart Clarke cept Suedes and, Leathers) IUICK CLEAN ïg WUNDROMAT ing St. E. Bowmnanville Phone 623-4189 CLOSED WEDNESDAiY OPEN MON.- FRI.,;30a.mn. .5:30 p.m SAT.9:OUa.M.-1.OOP.M. #j* ý w y New legisiation has changed some of the ground miles of our Ul program. Parliament has decided that people who live in areas of high unemployment will be given certain advantages over those who live where jobs are moreplentiful. Which means that, as of December 4, you'l need more insurable work weeks to qualify for Unemployment Insurance benefits. "110 to 14 weeks, depending on where you ive, right?" Right again. In regions of low unemployment, claimants will need up to 14 weeks of insurable employment to get Ul beniefits. This will only happen in places where it's easier to get and keep a job. In regions of high unemployment, claimants will need as little as 10 weeks to qualify. But until December 4, the entrance requipement remains at eight weeks wherever you live. "How about the two week waiting period?" No change. The basic two week waiting period remains the same everywhere. And so, do the rules on the waiting period when a claimant has left his or her job for no good reason or been fired for misconduct. In such cases, a claimant may have to wait up to eight weeks from when employment ends until benefits start. lHas the amount of the benefits changed?" 1Absolutely not. The UI benefit rate stays at two-thirds of your average weekly insurable earnings. The maximum is $147, less tax. "Anything else 1 should know?" The maximum time for wbich ayn may receive beneits has changed slightly. The old maximum was 51 weeks. Now ifs 50 weeks. But since September 11, the total number of weeks for which a claimant qualifies has more closely reflected the unempioyment rate in his or her region. <Right now, we measure unemployment by- dividing Canada into 16 economnic regions. Later, in 1978, we will fine-tune the program to 54 regions so that UI will be even more closely related to the local labour market conditions. Also, there's matemnity, sickness and age 65 benefits. 1Pr-eviously, sickness benefits were only payable during the first 39 weeks of the dlaim. Now they are payable at any time during the entire benefit period. Maternity benefits of 15 weeks and the special one-time benefit (equal to three weeks' benefits) at age 65 remains the same. 1the samne people still pay for the program in the same proportions, and the types of employment insurable for UI remain the same, too. And, as explained in the box below, you stiil go to the famiàliar locations for both UI offices and Canada Manpower Centres. Watch for changes inyour area. The Unemplaynt Insurance Commirssonand the Departmzent ofManpower and Inmmigratwon have become the Canada Employment andlImmigration Commission Ii2r a time, you'll still see our local offices ioentifled as Unempîqyrmnt Insurance offices or Canada Manpower Centres. W7en they're together in one locati, they'll be called Canada Eplaynet Centres. WAorkig with people whowant towork " Emplayment and Immigration Canada Bud Cullen Minister Emploi et. Immigration Canada Bud Cullen Ministre PADY'SMARKET New and Used Furnilàture and Appflances Trad-InsP Accepted on Appi a nces, - Easiy Credit Terms Ava ila ble - Telephone 263-2241 Hampton News