Sugar compensation liable to tax

FARMERS who receive sugar-compensation packages will be liable for the full rate of tax, according to Fine Gael TD Denis Naughten.

He said at least 80% of the sugar compensation package is presently liable to income tax and whether the remainder is taxable is currently awaiting clarification.

“It is completely unacceptable that farmers are being taxed on a redundancy package which is contrary to the treatment of any other taxpayer in a similar situation,” he said.