Revenue has confirmed it will issue a new guidance document setting out the list of equipment and procedures eligible for VAT reclaims, the Irish Creamery Milk Suppliers Association (ICMSA) has said.

Speaking following a meeting with Revenue on Monday, ICMSA president Denis Drennan said that this document will be available some time in May.

During the meeting, Revenue confirmed that VAT can be reclaimed on silage barriers, water troughs that have been plumbed, cubicle mats that are bolted to the floor, meal bins above a specified size, in-parlour feeding systems, bulk tanks and milking machines where they are part of a construction or renovation project of a specific shed.

In relation to meal bins, Revenue agreed to review the specified size of 10t, which the ICMSA believes to be too high.

Still excluded

Automatic calf feeders and robotic scrapers are still excluded, according to Drennan.

He said that Revenue had also stated how important it was for the processing of any claim that the farmer give a full and proper explanation for the investment being carried out and that the claim for the renovation or construction receipt should be submitted together with the bulk tank receipt, for example.

“We explained to Revenue that such investments may in some cases take place over a number of years for cashflow reasons and Revenue agreed to consider this issue as part of their revised guidance,” said Drennan.

Drennan said that the new guidance document when published will clear up many of the issues of concern for farmers.

"There may well be outstanding issues, including calf feeders, but Revenue have agreed that where ICMSA members had specific issues, that engagement could take place to examine specific cases," he said.