The Government should introduce a new dairy calf-to-beef scheme under Budget 2021, which would “better integrate the dairy and beef sectors,” the ICMSA has said in its pre-budget submission.
It said rearing dairy calves should be encouraged “as dairy beef is more climate-efficient than other systems of beef production”. This scheme should be open to all farmers, the ICMSA said, and farmers who apply to the scheme should rear calves from the dairy herd and they would not be allowed to increase their stocking rate.
To improve farm safety, it has called for a PTO scrappage scheme to be introduced and for farmers to be allowed to claim back VAT on farm safety equipment, cattle-handling devices and clothing.
The organisation also called for the introduction of a Brexit fund for exposed sectors.
Climate measures
Under climate measures, it has called for VAT on all low emissions slurry spreading (LESS) equipment to be reduced to zero and for a 60% TAMS grant to apply for such equipment.
To encourage use of protected urea, farmers should receive a rebate for every tonne of protected urea bought.
The ICMSA has also called for a new agri-environmental scheme to encourage increased carbon sequestration on intensive farms.
Deposit scheme
To combat volatility, the ICMSA says a farm management deposit scheme would allow a farmer to deposit income into a deposit account in the income tax year in which the profits are made.
Tax and relief
The ICMSA has called for the following taxation measures:
Earned income credit: equalisation of earned income credit in Budget 2021 to €1,650 (or to the level for all PAYE workers) from 1 January 2021.Universal Social Charge (USC): a reduction of the USC and the maximum rate applicable to the self-employed must be equalised or reduced to the PAYE rate.Stamp duty: the rate must be reduced to 3% for agricultural land sales.Young trained farmer relief and farm restructuring relief which are due to expire on 31 December 2021 and 31 December 2020, respectively, must be extended in Budget 2021 and along with consanguinity relief being made permanent.Cut to the 33% rate of Capital Gains Tax and the first €3,000 annually of an individual’s chargeable gain be exempt from CGT.Cut the rate of Capital Acquisitions Tax to 30%.Budget 2021 should provide for the introduction of a stock relief measure whereby farmers would be allowed 100% stock relief on additional expenditure of up to €100,000.
The Government should introduce a new dairy calf-to-beef scheme under Budget 2021, which would “better integrate the dairy and beef sectors,” the ICMSA has said in its pre-budget submission.
It said rearing dairy calves should be encouraged “as dairy beef is more climate-efficient than other systems of beef production”. This scheme should be open to all farmers, the ICMSA said, and farmers who apply to the scheme should rear calves from the dairy herd and they would not be allowed to increase their stocking rate.
To improve farm safety, it has called for a PTO scrappage scheme to be introduced and for farmers to be allowed to claim back VAT on farm safety equipment, cattle-handling devices and clothing.
The organisation also called for the introduction of a Brexit fund for exposed sectors.
Climate measures
Under climate measures, it has called for VAT on all low emissions slurry spreading (LESS) equipment to be reduced to zero and for a 60% TAMS grant to apply for such equipment.
To encourage use of protected urea, farmers should receive a rebate for every tonne of protected urea bought.
The ICMSA has also called for a new agri-environmental scheme to encourage increased carbon sequestration on intensive farms.
Deposit scheme
To combat volatility, the ICMSA says a farm management deposit scheme would allow a farmer to deposit income into a deposit account in the income tax year in which the profits are made.
Tax and relief
The ICMSA has called for the following taxation measures:
Earned income credit: equalisation of earned income credit in Budget 2021 to €1,650 (or to the level for all PAYE workers) from 1 January 2021.Universal Social Charge (USC): a reduction of the USC and the maximum rate applicable to the self-employed must be equalised or reduced to the PAYE rate.Stamp duty: the rate must be reduced to 3% for agricultural land sales.Young trained farmer relief and farm restructuring relief which are due to expire on 31 December 2021 and 31 December 2020, respectively, must be extended in Budget 2021 and along with consanguinity relief being made permanent.Cut to the 33% rate of Capital Gains Tax and the first €3,000 annually of an individual’s chargeable gain be exempt from CGT.Cut the rate of Capital Acquisitions Tax to 30%.Budget 2021 should provide for the introduction of a stock relief measure whereby farmers would be allowed 100% stock relief on additional expenditure of up to €100,000. 
This is a subscriber-only article
SHARING OPTIONS: