The Mega Deduction for farms and agriculture
Farm income swings year to year. Pulling a combine or tractor purchase into a high-income year is now a much stronger lever.
Three things to know
- Tractors, combines and sprayers qualify
- Grain handling, drying and irrigation equipment qualifies
- Barns, silos and other buildings do not
A typical $250,000 purchase
What farms and agriculture typically buy
| Asset | Class | Status | Old year-one deduction on $250,000 | Tax reduction (SB / general, Ontario) |
|---|---|---|---|---|
| Farm machinery | 10 / 8 | Eligible | $37,500 | $28,000 / $66,250 |
| Commercial vehicles (vans, pickups, work trucks) | 10 | Likely | $37,500 | $28,000 / $66,250 |
| General equipment, tools and furniture | 8 | Eligible | $25,000 | $28,000 / $66,250 |
| Clean energy and energy conservation equipment | 43.1 / 43.2 | Eligible | $37,500 | $28,000 / $66,250 |
Free: the Year-End Purchase Checklist (PDF)
One page. What qualifies, what does not, the 'available for use' trap, and the seven questions to ask your accountant before you buy. No spam, unsubscribe any time.
The Mega Deduction Year-End Playbook
Everything you need to walk into your accountant's office with a plan instead of a question. Built for owner-managed Canadian businesses that expect a profitable 2026.
- Excel purchase planner with every province's rates and every CCA class pre-loaded. Model up to 12 purchases, see the year-one deduction, tax reduction and 10-year comparison for each.
- The 41-page Playbook (PDF): eligibility by asset class, the exclusions, 'available for use' rules, financing vs. leasing, recapture risk, CCPC vs. sole proprietor, and worked examples for 12 industries.
- Accountant brief template (Word): a one-page memo you fill in and send so your accountant can confirm the plan in one email instead of a meeting.
- 30-day action plan for purchases that must be delivered and installed before your fiscal year-end.
$97$47 CAD one-time, instant download
Secure checkout by Stripe. Files delivered immediately after payment. Not tax advice; every plan should be confirmed by your accountant.