Farmers on income averaging will have the option, in a bad year, of only paying the tax due for that year. Any outstanding tax would then fall due in subsequent years.

The measure is one proposed by the IFA in their pre-Budget submission. It improves cashflow in a year when incomes drop suddenly, but the tax bill remains similar to previous better income years due to the effects of averaging.

This new option will be immediately available to farmers, and will be of particular assistance to the tillage and dairy sectors, with falling incomes and impending tax bills.

It is the first of a range of measures being introduced to combat low incomes and the effects of farming on Brexit. Minister Noonan made specific reference to the exposure of the agri-food sector to Brexit.

IFA also proposed that income averaging be extended from three to five years, and be made available to those whose spouse is self-employed. It is not yet clear whether these requests will be granted - no mention of them was made in the budget speech.

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Budget 2017: full coverage