RL-21 Slip – Farm Support Payments

RL-21 Slip – Farm Support Payments

The RL-21 slip must be filed by any government, municipality, municipal body, public body or producer organization or association that makes a payment of an amount that is a farm support payment, other than an amount paid out of a net income stabilization account.

Purpose of the RL-21 slip

The RL-21 slip is used to report farm support payments.

How to Complete the RL-21 Slip (Box by Box Instructions)

Box A

Income, grants and subsidies. This amount may reduce the cost of property or your expenditures, or increase your income, as the case may be.

Box B

Gains realized on the settlement of a debt. If the amount in this box relates to:

the reconveyance of a building site, you must reduce the capital cost of the building site;

the discharge of the principal amount of a loan used to purchase capital property, you must reduce the capital cost of the property; or

the forgiveness of interest in arrears or the interruption of interest accrual, you are not required to make any adjustment, as interest reported in income is offset by the deduction of interest expenses.

Box C

Gross insurance proceeds. This amount must be included in your farm income.Overpayment recapture. This amount may be deducted as farm expenses

Box D

Investment income. If the amount in this box is positive, enter it on line 130; if the amount is negative, enter it on line 231.

For further information please contact Taxtron Support at 416-491-0333 or visit www.taxtron.ca