‘Active’ definition to be re-examined

The definition of an ‘active farmer’ will be re-examined by Finance Minister Michael Noonan and changed if necessary, following widespread concerns that it will greatly restrict availability of recent Budget tax measures to support farming.

The Oireachtas Joint Committee on Agriculture, Food and the Marine has written to Mr Noonan, highlighting its concerns, and Finance Minister of State, Simon Harris, has confirmed Minister Noonan will examine the ‘active farmer’ definition, which can be amended at the committee stage of the Finance Bill.

Budget measures included tax relief in transfers of non-residential property to certain relatives, if the transferee is an ‘active farmer’; no stamp duty on agricultural leases to ‘active farmers’; and improved capital acquisitions tax relief for ‘active-farmer’ beneficiaries.