The IFA wants to see the reintroduction of low-cost loans and ANC funding to be increased to €225m.

Known unofficially as the Brexit budget, the IFA believes that the 2018 budget must take into account the volatility of sterling in recent months and the effect this has had on the close trading relationship between Ireland and the UK.

IFA president Joe Healy is calling for the introduction of measures to ensure farm incomes don’t suffer before and after Brexit. He said: “The Minister for Finance Paschal Donohoe must make good on his commitment to frame October’s budget in the context of the sterling weakness arising from the Brexit uncertainty.’’

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IFA budget wishlist

High up on the IFA’s budget wishlist:

  • Reintroduction of low-cost loans.

  • €225m increase in ANC funding.

  • €25m extra for BDGP programme.
  • €5m additional funding for Sheep Welfare Scheme.
  • Increased funding for TAMS.

  • €5m to be allocated to the NPWS to pay farmers where restrictions to farming result from land designation.

    • Fair deal

    Fair deal is an area that concerns all farm families, with farmers currently liable to pay 7.5% of the value of their farm for every year they spend in nursing home care. An Taoiseach Leo Varadkar last week confirmed that the Government was “nearing a resolution” on the issue, but warned it had “not yet been resolved”.

    The IFA would like to see an increase in funding for the Fair Deal Scheme to “remove discrimination against farming and other small business assets in the means assessment”.

    Taxation

    The key IFA priorities for farm taxation are:

  • Earned income tax credit to be raised from €950 to the PAYE level of €1,650.

  • Extension of income averaging where farmer/spouse has additional self-employed income.
  • 1% stamp duty for family transfers to be extended, with 1% rate to all transfers within registered farm partnerships.
  • Farmland under solar panel infrastructure to qualify for relief from capital acquisitions tax upon farm transfer.
  • VAT on animal vaccines to be reduced.

    • As reported in the Irish Farmers Journal last week, it is likely that the tax credit for the self-employed will increase, though it may still fall short of the PAYE tax credit of €1,650.

    However, all eyes will be on Paschal Donohoe tomorrow as he outlines details of Budget 2018.

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