Wednesday, March 19, 2014

We're Rich, We're Rich ! ! !

Receiving a letter yesterday from Egg Farmers of Ontario ("EFO") was ominous.  I thought, what now?  After opening the EFO letter, I laughed, then shouted out, "I'm rich!"

EFO has been taking advantage of the SR&ED tax break worth $99,075.90 (Scientific Research & Experimental Development) through PIC (Poultry Industry Council for Research & Education).

As a small flock egg producer, we had some excess eggs that we transported to the nearest egg grading station we could find, OK Egg Farm in Elmira ON, 604 km 1-way 

View Larger Map

The folks at OK Egg Farm were very patient with me.  As a small flock egg producer, I had no clue how their quota-based egg grading systems worked.  We eventually got our eggs transferred to their tray systems and awaited our miniscule cheque.

I can't remember the exact amount, but it was around $1.75 per dozen for 80 dozen, for a gross income of about $140.00 less $0.50/km x 1,208 km for a delivery cost $604.00 for a net loss of $464.00 as a penalty for not selling all our eggs.  Based on this 1-time "dumping" of excess eggs, we were included in EFO's SR&ED lottery.  Our share of this SR&ED pot of gold was $0.03 grand total.  We get to claim this $0.03 on our income tax by filling out many CRA forms and possibly hiring an accountant.

By the way, EFO spent $0.63 in postage sending me notice of this $0.03 benefit.  The funniest part of all.

Rather than taking our excess eggs for a 604 km drive, it would be better to use our eggs for target practice on the side of the chicken coop, rather than going to the nearest grading station.  The challenge of small flock egg producers located in remote areas.

No comments:

Post a Comment

Off-topic commercial spam that's posted so as to help sell your wares will be deleted.

On-topic comments, where you behave yourself and play nicely, will remain posted; whether they are pro or con. Everybody needs to fully understand all points of view so that we can find a solution that encompasses everybody's concerns. Give it your best shot.

If you decide to post, your posting becomes part of the public record, and SFPFC has full rights to use it (or not) in any reasonable manner or medium that suits our purposes.

Before posting, please proofread, and correct as necessary. If you subsequently discover a need to fix your previous posting, make an additional posting that refers to the original posting, then set the record straight.