The upper age limit of 67 years of age for stamp duty relief under the consanguinity clause for close family farm transfers must be abolished according to Irish Natura & Hill Farmers Association (INHFA) President Mr. Colm O’Donnell.
The consanguinity relief applies to non residential transactions where a father or mother transfers to a son or daughter or equally an aunt or uncle to a niece or nephew.The level of stamp duty relief for this type of transfer is 1% of the market valuation of the land.Up until 2016 no upper age limit applied to such transfers and the current 67 years limit is totally unacceptable and runs contrary to traditional transitional family farm transfers in the heart of rural Ireland, where the retiring farmer held on until the younger generation were in a good position to take over or returned home from abroad to continue the family tradition.
The other qualifying criteria under the consanguinity clause should remain in place, that is the individual to whom the land is conveyed or transferred to,
• must either farm or lease it for not less than 6 years
• where the individual farming the land does so on a commercial basis spending not less than half his or her normal working time hours,
• and/or who undertake that within 4 calendar years from the date of the transfer or conveyance be the holder of an agricultural qualification that satisfies the stamp duty consolidation act 1999.
The INHFA are calling on all elected representatives and all other farm organisations to back our call for an end to this 67 years upper age limit which according to O’Donnell is achievable if all stakeholders make a united call.
Also as a word advice to all farmers today as Hurricane approaches Mr O’Donnell advised all farmers and farming enterprises to stay safe and check on any elderly neighbours that may live alone. Safety first at all times.