Farmers unaware of rights to claim VAT
“I suspect that the reason why more farmers do not make claims is a straightforward lack of awareness,” said Dermot O’Brien, president of the Irish Taxation Institute, during a recent meeting of the Oireachtas Committee on Finance and the Public Service.
The matter was raised by Senator Terry Leyden of Fianna Fáil, who said he had highlighted VAT going unclaimed many years ago, when the figure involved amounted to some millions.
“I ask farmers to collect their receipts and send them in, as all VAT paid, including that on buildings and fuel, is refundable to them.
“However, quite a number do not realise this, although it is included in the budget every year”, said Senator Leyden.
Dermot O’Brien added that farmers can recover VAT on the construction of farm buildings, land reclamation or fencing, even if they are not registered for VAT.
“It is a relatively straightforward procedure to recover VAT.
“I am surprised farmers’ organisations have not done more to assist farmers in becoming aware of the facility for making claims,” he told the Committee.
Senator Leyden said the Irish Taxation Institute would be happy to meet the IFA and the ICMSA to see if they can assist in improving the knowledge base among farmers.
