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The budget provides very little detail on how a no-deal Brexit will be mitigated, according to the Irish Cattle and Sheep Farmers’ Association (ICSA) president Edmond Phelan.
Referring to the €85m that is targeted at beef farmers in the event of a no-deal Brexit, he said it is clear a no-deal Brexit would also require support from Brussels. “The problem with all of this is that Brexit uncertainty has been almost as bad as the no-deal scenario for cattle and sheep farmers. Nothing in today’s budget acknowledges that reality.
“We still are not clear as to what will be done to deal with the shortfall in applications for the BEAM programme,” he added.
He said the ICSA believes the rate per qualifying animal should be adjusted upwards, so the full Exchequer contribution of €50m, along with matching EU funding, can be utilised.
“ICSA believes that sheep farmers are also going to need a package along the lines of the BEAM scheme for beef farmers,” he said.
Appalled
The stamp duty on land purchase has left the ICSA “appalled” at the increase to 7.5% that was announced on Tuesday.
“This is a totally gratuitous assault on farmers trying to expand their enterprise. However, we do welcome the extension of the capital gains tax relief for farm restructuring for another two years to the end of 2021.”
Carbon tax without an alternative way of travel or haulage is simply personal tax dressed up in virtuous clothing.
The increase in carbon tax was branded as “unfair” by the ICSA president. “Most rural dwellers cannot afford an electric car. Hybrid cars are OK for urban commuting but totally unsuited to rural or long distance driving and not practical for towing. Carbon tax without an alternative way of travel or haulage is simply personal tax dressed up in virtuous clothing.”
He also described the adjustments to the self-employed tax credit and the capital acquisitions tax group A rates as begrudging.
“Initially, there was a commitment to rectify the injustice of income tax credits in three tranches of €550 a year. If that had happened, the self-employed person would have already achieved income tax parity with the employee. It is manifestly unfair that we are heading into yet another tax year whereby the earned income tax credit is still less than the employee tax credit of €1,500 versus €1,650.”
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