Transfer of family farms urged before budget hits

Experts advise transferring the family farm to young members to minimise post-budget tax pain, writes Joe Dermody

A RECORD number of farming parents may transfer the family farm to their offspring next year to minimise the impact of post-budget taxation changes likely to be introduced in 2012.

Farm experts believe next Tuesday’s budget will hit farm tax reliefs, along lines suggested in a report by the commission on taxation last September. Most likely to be hit are farmer-friendly reliefs for capital gains tax (CGT), inheritance tax (IT), and tax incentives for farmers who invest in stock and buildings.