EU objects to Irish land lease tax relief proposals

The EU Commission has advised the Department of Agriculture that some of its tax relief proposals for leases of farmland may constitute illegal State Aid, because they are confined to lands used for farming.

The proposals were announced by Finance Minister Michael Noonan in the Budget last October. Department officials are now discussing with the Commission how to make the proposals compliant. Mr Noonan has confirmed in the Dail that EU State Aid clarification is awaited on relief from stamp duty on agricultural leases of 6-35 years, of land used exclusively for farming by the lessee.


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