B.C. Farmers' Food Donation Personal Income Tax Credit
The farmers' food donation tax credit is a non-refundable income tax credit to encourage farmers and farming corporations to donate certain agricultural products that they produce in B.C. to registered charities, such as food banks or school meal programs.
The credit is 25 per cent of the eligible amount of a farmer’s qualifying gifts for the tax year. The credit is available to farmers or their spouses or common-law partners who make a gift of agricultural product after February 16, 2016 and before January 1, 2021.
Budget 2020 proposes extending the farmers’ food donation tax credit by three years to include gifts of agricultural products made before January 1, 2024.
The farmers’ food donation tax credit is in addition to any charitable and other gift tax credit claimable.
Claiming the Credit
Farmers, farmers’ spouses or common-law partners, may claim the credit on their T1 income tax return. Enter the amount of the credit you are claiming on the British Columbia Tax form (BC428).
The credit must be claimed with the charitable and other gift tax credit, within five tax years of the donation of agricultural product being made.
More details may be found on the frequently asked questions page.
Farming corporations may also claim this credit.
The following legislation applies to the B.C. farmers' food donation tax credit: