Press Room

Macra national president Colm Markey has said that he is totally opposed to any application of VAT by the Revenue Commissioners on the transfer of Single Farm Payment entitlements. He said that plans by Revenue to apply VAT on the transfer of entitlements by gift is a complete contradiction to Government policy on early transfer of agricultural property to young trained farmers.

Macra has made a strong objection to Revenue and the Department of Finance and has sought an immediate meeting to resolve the matter.

'This totally flies in the face of Government policy as specific adjustments to the 'transfer tax codes' arising out of the introduction of the Single Farm Payment in the 2006 Budget meant Single Farm Payment was included under the definition of agricultural property allowing farmers to qualify for Capital Acquisition, Capital Grains and Stamp Duty relief,' said Mr Markey.

'We have a significant age structure problem in the industry with over 45% of farmers being over 55 and only 11% being under 35. We need every possible incentive to encourage young people into the industry,' he continued.

Mr Markey said that in order to encourage young farmers to enter farming and to improve the age structure of the industry, it is imperative that these individuals are not subject to VAT when receiving Single Farm Payment entitlements by gift.

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