All About Estates
By Sébastien Desmarais
October 14th, 2025
Farming plays a pivotal role in our economy as it fulfills our basic daily necessities and it is in everyone’s interest that our Canadian farms continue to prosper in the future.
According to the Statistics Canada 2021 Census of Agriculture, there are almost 189,900 farms in Canada, and —on average— a Canadian farmer is 56 years of age.
That same Census also found that 124,999 of those farms have no succession plan in place. These statistics are evidence for the need to discuss efficient family farm transition.
The transition of the family farm is a significant decision with important family implications. One of the keys to a successful farm transition/succession is for all family members to be involved; the parents, the next generation of farmers (if any) and the family members who will not pursue farming. Ultimately, farm transition requires a willingness of the parents to let go of ownership (and decision-making) over time and a readiness to train a successor(s); this is referred to as the “psychological” dimension to farm transition and represents the initial step. One should not underestimate the importance of communication among family members early.
It is imperative that discussions and planning occur early to establish the wishes of the parents, the farming children and the non-farming children and that any tax planning complements those non-tax considerations.
Since most farmers are, on average, 56 years of age, professional advisors should recognize that many family farms will be transitioning within the next decade. Ultimately, farm succession will require an approach that considers the tax implications, the farming operations and the family’s wishes.
Sébastien Desmarais, Tax and Estate Planner, TD Wealth
