Dairy farmers are at a disadvantage when applying for TAMS grant aid on slurry equipment because they are not VAT registered, they claim.

After 15 June this year, derogation dairy farmers must spread their slurry with low emission equipment such as a dribble bar, under the new Nitrates Action Programme.

Low emission equipment is eligible for grant aid in TAMS but it is calculated on the lower, VAT-exclusive cost of the equipment, not the cost including VAT. Most dairy farmers are not registered for VAT.

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