Modulation deductions

Modulation deductions from single farm payments will hit the 10% threshold for most applicants this year.

The deduction has increased from 5% in 2006 to 7% in 2009, 8% in 2010, 9% in 2011, and 10% in 2012, applying to all amounts paid to each individual under the Single Payment Scheme in excess of €5,000.

An additional 4% modulation deduction applies to the applicants in Ireland whose payment exceeds €300,000 per year. Previously only four applicants were in this category, now there are five.