Agriculture and Agri-Food Canada has issued farmers a gentle reminder that their old Net Income Stabilization Accounts (NISA) will be closed by the end of this month.
AAFC began winding down NISA accounts in March 2004 as the program was replaced by the Canadian Agricultural Income Stabilization (CAIS) program. NISA accounts were closed to further deposits by farmers as of Dec. 31, 2003.
Participants were given the option to withdraw their NISA balances in one lump sum or in the form of annual payments for up to five years. That five-year wind-down period ends March 31 this year.
The NISA administration has begun distributing final payments from any accounts remaining and expects to complete that distribution by the end of this fiscal first quarter.
The final payments apply to NISA participants who chose to wind down their accounts through annual payments over the full five years.
Farmers who have not received their remaining funds by March 31 are asked to contact the NISA administration at 1-866-367-8506.
The options for either lump sums or annual payments were intended to allow farmers “greater flexibility” both for tax planning and for managing cash flow.