IFA seek tax deferral mechanism to ease Brexit blow to farm income
A new tax deferral mechanism allowing struggling farmers to pay back tax over a three year period could help ease the farm income crisis, IFA president Joe Healy has said.
The tax incentive is one of a raft of short term measures the IFA are calling for in their pre-budget submission 2017.
As low product prices, a bad spring and the implications of the Brexit continue to add further volatility to farm incomes, the IFA are urging the Government to “inject funding” into the sector.
Speaking at today’s launch in Dublin Mr Healy said: “Farm families are under huge pressure as cash flow tightens and the viability of their farm is put at risk. The recent vote by the UK to leave the EU has created major uncertainty and immediate price challenges”.
“Budget 2017 provides an opportunity for the Government to take funding and taxations decision that will directly address the farm income difficulties being experienced and underpin the longer-term development of the sector,” he said.
The IFA are also pressing the Government to deliver on its funding commitment top the Rural Development Programme.
Expenditure priorities highlighted include: funding of the €250m for the agri-environment schemes in Budget 2017 - with full payments for all GLAS, AEOS and organic scheme participants - the introduction of a targeted sheep scheme of €25m, increased funding to the ANC scheme and the immediate reopening of the beef data and genomic programme.
In relation to income averaging, Mr Healy said “it’s crucial” that all sectors can avail of it.