
Farm Property Class Tax Rate Program
Last Update: June 22, 2025
ON, Canada
Provides reduced property tax rates for eligible Ontario farmland owners
Farm Property Class Tax Rate Program at a glance
Eligible Funding
- Up to 25% of project cost
Timeline
- Continuous Intakes
Financing Type
Tax Credits
Eligible Industries
- Agriculture, forestry, fishing and hunting
Grant Providers
- Agricorp
Status
Open
Overview of the Farm Property Class Tax Rate Program program
The Farm Property Class Tax Rate Program provides eligible Ontario farm properties with a reduced property tax rate, taxing agricultural land at a maximum of 25% of the municipal residential property tax rate. The program aims to support agricultural operations by reducing land tax costs for properties classified and actively used for farming.
Financing terms and conditions
- Farm property tax for eligible farmland is reduced to a maximum of 25% of the municipal residential property tax rate; land and buildings used for residential purposes are taxed at the full residential rate.
Eligible projects & activities
- Operation of farmland for agricultural business purposes with property classified as farmland by MPAC.
- Farm property ownership and management activities leading to eligibility for a reduced property tax rate.
Examples of admissible projects:
$ 48,000
Installing solar panels to reduce operational costs and emissions
$ 34,000
Launching a digital tool for inventory management and logistics
$ 25,000
Introducing accessible technology to support clients with visual impairments
$ 37,000
Piloting a local composting initiative for restaurant food waste
$ 43,000
Replacing fuel oil heating with high-efficiency air source heat pumps
$ 24,000
Developing a mobile app for local sustainable tourism experiences
Eligibility criteria of the Farm Property Class Tax Rate Program program
- The property must be assessed as farmland by the Municipal Property Assessment Corporation (MPAC).
- The property must be used for an active farm business generating at least $7,000 in annual gross farm income (with certain exemptions available).
- The farm business on the property must have a valid Farm Business Registration (FBR) number, unless eligible for an exemption.
- The property must be owned by Canadian citizens or permanent residents, or by a corporation where more than 50% of voting shares are owned by Canadian citizens or permanent residents.
Who is eligible?
- Owners of farmland assessed as agricultural property in Ontario
- Farm businesses actively engaged in farming on the property
- Farm properties operated by tenant farmers (if applicable)
Who is not eligible
- Companies whose properties have not been assessed as farmland by the Municipal Property Assessment Corporation (MPAC).
- Businesses whose properties are not actively used for a farm business.
- Properties not owned by Canadian citizens or permanent residents (for companies, more than 50% of voting shares must be held by qualifying individuals).
Eligible geographic areas
- Ontario
How to apply to the Farm Property Class Tax Rate Program program
- Step 1: Download the Eligibility Application
- Visit the Agricorp website to access and download the eligibility application (PDF) for the Farm Property Class Tax Rate Program.
- Step 2: Complete the Application
- Fill out all sections of the application form accurately.
- Check the relevant box to confirm your agreement to the terms on page 2 of the form.
- If you are applying for an exemption, ensure you complete the appropriate section and provide supporting documentation as indicated.
- Step 3: Gather Required Information
- Obtain your property roll number.
- Have your valid Farm Business Registration (FBR) number available. If your property is farmed by a tenant, you will also need their FBR number.
- If you or your tenant do not qualify for an FBR number, indicate the exemption request in your application.
- Step 4: Submit the Application
- Email the completed application form and any supporting documents to contact@agricorp.com.
- Step 5: Await Confirmation
- Receive a response from Agricorp regarding the review and outcome of your eligibility application or exemption request.
- Step 6: Ongoing Responsibilities
- Maintain a valid FBR number annually to continue qualifying for the program.
- If you make changes to property ownership, business operations, or FBR number, submit a new eligibility application.
Additional information
- Once accepted, your property remains in the program as long as you continue to meet all eligibility requirements and keep your Farm Business Registration (FBR) number valid each year.
- If there are changes in property ownership, operations, or the FBR number, a new eligibility application must be completed to maintain the reduced tax rate.
- Exemptions to eligibility may expire; property owners must reapply before expiration to avoid loss of program benefits.
- The property's eligibility for reduced property tax is determined in collaboration by MPAC, Agricorp, and the local municipality.
Contact Agricorp
contact@agricorp.com
1‑888‑466‑2372
Apply to this program

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