Acts and Regulations

84-75 - Farm Land Identification

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Current to 1 January 2024
NEW BRUNSWICK
REGULATION 84-75
under the
Real Property Tax Act
(O.C. 84-310)
Filed April 24, 1984
Under section 26 of the Real Property Tax Act, the Lieutenant-Governor in Council makes the following Regulation:
1This Regulation may be cited as the Farm Land Identification Regulation - Real Property Tax Act.
2In this Regulation
“Act” means the Real Property Tax Act;(loi)
“Board” means the Agriculture Appeal Board established under the Agriculture Appeal Board Act;(Commission)
“Department” means the Department of Agriculture, Aquaculture and Fisheries; (Ministère)
“farm land” means real property registered under the program;(terres agricoles)
“farm outbuildings” means the operational and storage facilities of an operating farm, including poultry houses, potato storage sheds, greenhouses, nurseries, piggeries, shelters for animals, food and machinery for providing services to the operational and storage facilities and facilities for seed grain to which a person has been authorized to apply official tags or inter-agency certification tags and seals under subsection 29(1) of the Seeds Regulation (Canada), but not including storage or processing equipment of commercial operations, elevators, slaughter facilities or storage facilities that are not directly a part of the farm operation;(bâtiments agricoles)
“Minister” means the Minister of Agriculture, Aquaculture and Fisheries; (Ministre)
“program” means the Farm Land Identification Program;(Plan)
“Registrar” means the person appointed under section 3.(registraire)
88-172; 92-146; 97-82; 2000, c.26, s.258; 2007, c.10, s.84; 2010, c.31, s.118; 2017, c.63, s.52; 2016, c.28, s.7; 2019, c.2, s.127
3The Minister shall appoint a Registrar of the program.
4The Registrar shall maintain a registry of farm land and real property designated as real property with changing status.
97-82
5(1)The following real property shall be eligible for registration under the program:
(a) land used for the production of agricultural products;
(b) land capable of being used for agricultural production in the year of application;
(c) land which is being cultivated from time to time or managed for the production of food for humans or livestock; and
(d) land referred to in paragraph (a), (b) or (c) and farm outbuildings.
5(2)Paragraph (1)(d) is applicable to the 1989 and subsequent taxation years.
88-172
6(1)Subject to subsection (2), no real property shall be registered under the program unless it is at least five hectares in area.
6(2)The Registrar may register a parcel of real property that is less than five hectares in area if the parcel of real property is
(a) marshland,
(b) used for market gardening,
(c) part of a family farm registered under the program,
(d) used for storage facilities, or
(e) used for livestock housing facilities.
6(3)Paragraphs (2)(d) and (e) are applicable to the 1989 and subsequent taxation years.
84-188; 88-172
7Notwithstanding section 5, no real property shall be registered under the program if it cannot be classified as real property capable of use for agricultural purposes on a commercial basis at the time of application for registration under the program.
88-172
7.1(1)Real property registered under the program for the 1997 taxation year and still registered under the program at the end of 1997 may:
(a) continue to be registered under the program at the request of the owner if the owner of the real property accepts in writing the terms and conditions under section 7.2 and the real property meets the terms and conditions under section 7.2;
(b) be designated as real property with changing status
(i) if the owner so requests,
(ii) if the real property does not meet the terms and conditions under section 7.2, but does meet the terms and conditions under sections 5 to 7, or
(iii) if the owner does not make a request under paragraph (a) or (c) and the real property meets the terms and conditions under sections 5 to 7; or
(c) be deregistered
(i) if the owner so requests in writing and pays all the deferred taxes, or
(ii) if the real property does not meet the terms and conditions under sections 5 to 7.
7.1(2)The owner of real property with changing status under this section shall maintain the real property capable for use for agricultural purposes.
7.1(3)Notwithstanding subsection (2), the owner of real property with changing status under this section may use the real property for reforestation activities if the real property may be reclaimed for use for agricultural purposes.
7.1(4)Except as otherwise provided in this section, real property with changing status under this section shall continue to be so designated if the real property meets the terms and conditions under sections 5 to 7.
7.1(5)Taxes on real property with changing status under this section that were deferred before the 1998 taxation year shall continue to be deferred if the requirements in subsections (2) to (4) are met.
7.1(6)Taxes for the 1998 taxation year and subsequent taxation years on real property with changing status under this section shall not be deferred and are due and payable in accordance with the Act.
7.1(7)Where real property with changing status under this section is subdivided into two or more parcels, the deferred taxes on any parcel of the real property that is no longer capable for use for agricultural purposes are due and payable, but the deferred taxes on the remainder of the real property shall continue to be deferred if the terms and conditions in sections 5 to 7 are met.
7.1(8)If real property with changing status under this section does not meet the requirements in subsections (2) to (4), the Registrar shall remove such real property from the registry under section 4.
7.1(8.1)Where the owner of real property with changing status under this section requests that the real property be removed from the registry under section 4, the Registrar shall remove such real property from the registry.
7.1(8.2)Where real property with changing status under this section has been so designated for ten years, the Registrar shall remove such real property from the registry under section 4 and no deferred taxes on such real property are due and payable.
7.1(8.3)Where real property is removed from the registry under subsection (8) or (8.1), the number of years, including parts of a year, immediately preceding 1998 for which deferred taxes on the real property are due and payable is the lesser of
(a) the number of years, including parts of a year, determined by the formula under subsection (8.4), and
(b) the number of years, including parts of a year, during which the real property was registered under the program.
7.1(8.4)The formula for the purposes of subsection (8.3) is as follows:
a = 10 − b
where
a =
the number of years, including parts of a year, immediately preceding 1998 for which the deferred taxes are due and payable
 
b =
the number of years, including parts of a year, that the real property is designated as real property with changing status.
7.1(9)No appeal shall be made after 1998 with respect to the designation under this section of real property as real property with changing status.
97-82; 97-128
7.2Notwithstanding sections 5 to 7, real property may only be registered in the program after 1997 if it meets the following terms and conditions:
(a) the land must be registered under the Registry of Agricultural Land Regulation - Agricultural Land Protection and Development Act;
(b) farm outbuildings must be located on land registered under the Registry of Agricultural Land Regulation - Agricultural Land Protection and Development Act;
(c) the real property must be in active use for agricultural purposes, or, if not so used, it must be capable for use for agricultural purposes in accordance with the following:
(i) the real property must be clear of trees, brush or other obstructions that would restrict normal farming operations; and
(ii) the real property must have a combination of soil texture, depth to compact layer, depth to bedrock, drainage, slope and climate which make it possible to sustain an agricultural operation; and
(d) where the real property is not in active use for agricultural purposes
(i) the owner of the real property must be willing to rent the real property if an offer equal to five per cent or more of the assessed value of the real property is made, or, if an offer is made that is not monetary, the Registrar considers that the offer is reasonable,
(ii) the Registrar may advertise the real property for rent, and
(iii) the lessee of the real property must use agricultural practices acceptable to the Registrar.
97-82
8(1)Every person wishing to have real property registered under the program shall make application to the Registrar.
8(2)Applications for the registration of real property received after the first day of September of any year may not be considered until the following year.
8(2.1)Notwithstanding subsection (2), the deadline for applications for the registration of new farm outbuildings added to real property registered under the program is the first day of November of any year.
8(2.2)When new farm outbuildings are registered under subsection (2.1), the date of registration shall be deemed to be the date of assessment.
8(3)Repealed: 97-82
88-172; 97-82
9(1)Real property registered in the program after 1997 shall continue to be registered in the program if it meets the terms and conditions under section 7.2.
9(2)The owner of real property registered in the program after 1997 shall maintain the real property capable for use for agricultural purposes.
88-172; 97-82
9.1(1)Interest payable under subsection 5(7) of the Act shall not exceed 50% of the taxes payable under that subsection.
9.1(2)Interest payable under paragraph 5(8)(b) of the Act shall not exceed 50% of the taxes payable under that paragraph.
9.1(3)Interest payable under paragraph 5(9)(b) of the Act shall not exceed 50% of the taxes payable under that paragraph.
2007-49
10(1)Subject to subsection (2), the Registrar shall deregister real property registered under the program that does not meet the terms and conditions under section 7.2.
10(2)No deregistration shall occur under subsection (1) unless the owner of the real property is given thirty consecutive days’ written notice of the deregistration.
10(3)A notice under subsection (2) may be mailed to the owner of the real property at his or her address as listed in the records of the Registrar.
88-172; 97-82
10.1Subject to subsections 5(8) and (9) of the Act, when real property registered in the program after 1997 is deregistered, the taxes on such real property are due and payable in accordance with the Act.
97-82
10.2(1)Notwithstanding section 10, real property registered in the program after 1997 may be designated as real property with changing status where
(a) the land reverts to forest,
(b) the use made of the land is changed to reforestation activities, or
(c) a farm outbuilding on the real property is no longer capable for use for agricultural purposes due to lack of maintenance, but not due to a change in use or a structural change that makes the farm outbuilding incapable for use for agricultural purposes.
10.2(2)Except as provided for in subsection (1), the owner of real property with changing status under this section shall maintain the real property capable for use for agricultural purposes.
10.2(3)Except as otherwise provided under this section, real property with changing status under this section shall continue to be so designated if the real property meets the terms and conditions under section 7.2.
10.2(4)Taxes on real property with changing status under this section that were deferred before the designation shall continue to be deferred if the real property is used in accordance with this section, but if such real property is not used in accordance with this section, the Registrar shall remove the real property from the registry under section 4.
10.2(5)Subject to subsections (6) to (8), where real property with changing status under this section is subdivided into two or more parcels, the Registrar shall remove the real property from the registry under section 4.
10.2(6)Subsection (5) does not apply where
(a) each parcel of the real property meets the terms and conditions under section 7.2;
(b) a parcel or parcels of the real property are expropriated, and the remainder of the real property meets the terms and conditions under section 7.2;
(c) a parcel or parcels of the real property are conveyed to a municipality, a rural community, the Province or Canada for government purposes, and the remainder of the real property meets the terms and conditions under section 7.2;
(d) the purpose of the subdivision is to grant an easement or right of way over the real property, and the remainder of the real property meets the terms and conditions under section 7.2; or
(e) the purpose of the subdivision is to grant a lease of or a licence respecting a parcel or parcels of the real property, and the parcel or parcels and the remainder of the real property meet the terms and conditions under section 7.2.
10.2(7)Where a portion of real property is being used for housing for immediate family members of the owner of the real property who are working with the owner on the owner’s agricultural operation, the deferred taxes on that portion of the real property are due and payable, but the deferred taxes on the remainder of the real property shall continue to be deferred and the status of the remainder of the real property shall remain the same.
10.2(8)For the purposes of subsection (7), the portion of the real property used for housing for immediate family members of the owner or any subsequent owner shall contain no more than two building lots over a twenty year period, and each building lot shall not exceed 0.4 hectares in area.
10.2(9)Taxes on real property with changing status under this section for any taxation year after the designation shall not be deferred and are due and payable in accordance with the Act.
10.2(10)Where the owner of real property with changing status under this section requests that the real property be removed from the registry under section 4, the Registrar shall remove such real property from the registry.
10.2(11)Where real property with changing status under this section has been so designated for fifteen years, the Registrar shall remove such real property from the registry under section 4 and no deferred taxes on such real property are due and payable.
10.2(12)Where real property is removed from the registry under subsection (4), (5) or (10), the number of years, including parts of a year, immediately preceding the year of designation for which deferred taxes on the real property are due and payable is the lesser of
(a) the number of years, including parts of a year, determined by the formula under subsection (13), and
(b) the number of years, including parts of a year, during which the real property was registered under the program.
10.2(13)The formula for the purposes of subsection (12) is as follows:
a = 15 − b
where
a =
the number of years, including parts of a year, immediately preceding the designation for which the deferred taxes are due and payable
 
b =
the number of years, including parts of a year, that the real property is designated as real property with changing status.
97-82; 97-128; 2005-68
10.3(1)Subject to subsection 5(9) of the Act and to subsection (2), when real property that continued to be registered in the program at the end of 1997 by operation of paragraph 7.1(1)(a) or that was registered under the program after 1997 is subdivided into two or more parcels, the real property shall be deregistered and all the deferred taxes are due and payable.
10.3(2)Subsection (1) does not apply where
(a) each parcel of the real property meets the terms and conditions under section 7.2;
(b) a parcel or parcels of the real property are expropriated, and the remainder of the real property meets the terms and conditions under section 7.2;
(c) a parcel or parcels of the real property are conveyed to a municipality, a rural community, the Province or Canada for government purposes, and the remainder of the real property meets the terms and conditions under section 7.2;
(d) the purpose of the subdivision is to grant an easement or right of way over the real property, and the remainder of the real property meets the terms and conditions under section 7.2; or
(e) the purpose of the subdivision is to grant a lease of or a licence respecting a parcel or parcels of the real property, and the parcel or parcels and the remainder of the real property meet the terms and conditions under section 7.2.
97-82; 2005-68; 2021-47
10.4The circumstances under which a portion of real property registered under the program may cease to be registered under the program for the purposes of subsection 5(9) of the Act are:
(a) no more than two building lots shall be included in the portion over a twenty year period,
(b) each building lot shall not exceed 0.4 hectares in area, and
(c) each building lot may be used only for housing for immediate family members of the owner of the real property who are working with the owner on the owner’s agricultural operation.
97-82
11The owner of real property that has been registered may apply to the Registrar to determine whether a proposed use may result in deregistration of the real property under the program, and the Registrar, upon receiving such a request shall, after due investigation, issue a certificate stating the position of the Registrar on the matter.
88-172
11.1(1)The Minister of Finance and Treasury Board shall, before causing the deregistration of real property under subsection 12(1.1) of the Act,
(a) mail to the person in whose name the real property is assessed a notice to the effect that the real property is liable to be deregistered under the farm land identification program and that the Minister of Finance and Treasury Board intends to fix a schedule of payment of the due and unpaid taxes and penalties,
(b) fix such a schedule, and
(c) mail to the person notified under paragraph (a) a further notice, setting out the fixed schedule.
11.1(2)A schedule fixed by the Minister of Finance and Treasury Board under subsection (1) is final.
11.1(3)Where a schedule is fixed under subsection (1), the Minister of Finance and Treasury Board shall not cause the deregistration of the real property under subsection 12(1.1) of the Act unless the person in whose name the property is assessed fails to make payments in accordance with the schedule.
89-169; 2019, c.29, s.136
11.2(1)Where real property registered under the farm land identification program is damaged or destroyed, the person in whose name the real property is assessed may, on or before the thirty-first day of December in the year in which the damage or destruction occurs, apply to the Minister of Finance and Treasury Board for a tax adjustment under subsection 21(1.01) of the Act.
11.2(2)An application for a tax adjustment under subsection (1) shall state
(a) the name and mailing address of the applicant,
(b) the description and the property account number of the real property for which the adjustment is desired,
(c) the date of the damage or destruction, and
(d) the nature and extent of the damage or destruction.
11.2(3)The Minister of Finance and Treasury Board shall advise an applicant for a tax adjustment under subsection (1) as to the amount of adjustment, if any, to which the applicant is entitled.
11.2(4)Any adjustment in the amount of tax shall be made by the Minister of Finance and Treasury Board on a proportionate basis having regard to the extent of the damage or destruction caused to the real property concerned and shall be calculated on a monthly basis beginning with the first month following the month in which the real property was damaged or destroyed.
89-169; 2019, c.29, s.136
12Repealed: 2016, c.28, s.7
86-146; 97-82; 1998, c.41, s.100; 2000, c.26, s.258; 2006, c.16, s.157; 2012, c.39, s.131; 2016, c.28, s.7
13Any person affected by a decision of the Registrar may appeal the decision to the Board.
97-82; 2016, c.28, s.7
14Regulation 78-115 under the Real Property Tax Act is repealed.
N.B. This Regulation is consolidated to June 7, 2021.