Agricultural exports have expanded by 45 per cent in six years, but at the same time cuts in subsidies and higher costs have damaged individual farm incomes, the Irish Farmers’ Association (IFA) has told the Government.
In its pre-budget submission the association said the part played by the agricultural sector in the State’s recent economic recovery “can’t be forgotten”.
IFA president Eddie Downey said a €580 million rural development programme earmarked for 2016 would have to be accompanied by tax reform, particularly in relation to relief for the self-employed.
An agricultural employee on the lowest rate of tax would take home significantly more money than a self-employed farmer on the same wage, which was not fair, he said.
The IFA has also proposed adult children and parents enter a scheme of leasing which would allow parent and child to farm together, with certainty for the child of ownership of the farm after a period of years. The scheme should also give the parents special tax relief as the farm was transferred, according to the IFA.
Food targets
Mr Downey said that under these arrangements the natural decline in productivity which frequently accompanied ageing farmers would be avoided and the State’s food targets would be maintained.
IFA farm business chairman Tom Doyle also welcomed the Department of Health’s review of the Fair Deal nursing home scheme. He said it recognised the difficulties farmers had due to the assessed value of non-residential assets.
Chairwoman of the IFA Farm Family Committee Maura Canning said a cap should be applied to the charges for nursing home care “based on non-residential, productive assets which are passed on direct to a family member”.
The IFA also outlined in detail its priorities in relation to the rural development fund.
