The 2001 budget extended the existing tax-deferred rollover of farm property to a child to transfers of commercial woodlots after December 10, 2001, where the woodlot is operated in accordance with a “prescribed forest management plan”.
The budget indicated that specific criteria for prescribed forest management plans would be developed in consultation with interested parties. The department’s consultations with interested stakeholders have now been completed and draft regulations defining “prescribed forest management plans” will be developed taking into consideration the views expressed during our consultations.
As indicated in the 2001 budget, intergenerational transfers that occur before the regulations are promulgated will qualify for the tax-deferred rollover if a plan providing for the necessary attention to the woodlot’s growth, health, quality and composition is followed.