More support for suckler cows and more tax breaks for farmers formed part of the Irish Farmers Association (IFA) budget submission for 2017, which was launched on Tuesday.
Speaking at the launch, IFA president Joe Healy, "A farm income crisis is being experienced in many sectors in Ireland in 2016, caused by a combination of low product prices, a bad spring, and negative political events. Farm families are under huge pressure as cashflow tightens and the viability of their family farm is put at risk.
The organisation called for the Beef Data and Genomics Programme (BDGP) to reopen immediately to allow new participants, with additional funding of €25m to increase support for the suckler cow.
The last government’s decisions on agri-taxation were described as positive by the IFA, who said such decisions “have contributed to farm development and restructuring”.
The key priorities outlined for farm taxation include an extension of Capital Gain Tax Farm Restructuring Relief past 2016, extending income averaging to be amended to provide extra flexibility in a year when income falls significantly and increasing Income Tax Credit to the same level as the PAYE credit.
TAMS
A funding allocation of €50m to the TAMS II programme to meet the demand across all farming sectors was also included.
Significant delays in TAMS have been ongoing for some time and as of last month, over 7,000 applications have been made. However, the latest figures show that 4,328 farmers are still waiting for their applications to be processed.
A further 2,829 farmers who have received approval are still waiting on their payments.
Impact of Brexit
“In addition, the recent vote by the UK to leave the EU has created major uncertainty and immediate price challenges. Budget 2017 provides an opportunity for the Government to take funding and taxation decisions that will directly address the farm income difficulties being experienced and underpin the longer-term development of the sector," Joe Healy said.
The IFA President said, “In October’s budget, the Government must deliver on its funding commitment to the Rural Development Programme. Having experienced a reduction in funding to the agriculture budget of almost 40% during the downturn, increased funding for farm schemes will deliver programmes of support for low-income farmers, support the provision of environmental services, encourage young farmers, and promote on-farm investment.”
Other priorities in the IFA 2017 budget submission include:
Funding of €250m for agri-environment schemes in Budget 2017,with full payments for all GLAS, AEOS and organic scheme participants.Introduction of a targeted sheep scheme of €25m, with minimal costs and bureaucracy on farmers, to maximise its benefits.Additional funding for the Areas of Natural Constraint (ANCs) to reach €225m, commencing the process of restoring ANC payments to 2008 levels.Joe Healy said, “The Government commitment to increase funding to the ANCs by €25m in 2018 must be brought forward by a year, as this funding is urgently needed to support farm incomes in the most marginal areas. In advance of the full review of the ANCs, which will take place during 2017, IFA is looking for a one year increase in the maximum number of hectares on which ANC payments can be made.”
More support for suckler cows and more tax breaks for farmers formed part of the Irish Farmers Association (IFA) budget submission for 2017, which was launched on Tuesday.
Speaking at the launch, IFA president Joe Healy, "A farm income crisis is being experienced in many sectors in Ireland in 2016, caused by a combination of low product prices, a bad spring, and negative political events. Farm families are under huge pressure as cashflow tightens and the viability of their family farm is put at risk.
The organisation called for the Beef Data and Genomics Programme (BDGP) to reopen immediately to allow new participants, with additional funding of €25m to increase support for the suckler cow.
The last government’s decisions on agri-taxation were described as positive by the IFA, who said such decisions “have contributed to farm development and restructuring”.
The key priorities outlined for farm taxation include an extension of Capital Gain Tax Farm Restructuring Relief past 2016, extending income averaging to be amended to provide extra flexibility in a year when income falls significantly and increasing Income Tax Credit to the same level as the PAYE credit.
TAMS
A funding allocation of €50m to the TAMS II programme to meet the demand across all farming sectors was also included.
Significant delays in TAMS have been ongoing for some time and as of last month, over 7,000 applications have been made. However, the latest figures show that 4,328 farmers are still waiting for their applications to be processed.
A further 2,829 farmers who have received approval are still waiting on their payments.
Impact of Brexit
“In addition, the recent vote by the UK to leave the EU has created major uncertainty and immediate price challenges. Budget 2017 provides an opportunity for the Government to take funding and taxation decisions that will directly address the farm income difficulties being experienced and underpin the longer-term development of the sector," Joe Healy said.
The IFA President said, “In October’s budget, the Government must deliver on its funding commitment to the Rural Development Programme. Having experienced a reduction in funding to the agriculture budget of almost 40% during the downturn, increased funding for farm schemes will deliver programmes of support for low-income farmers, support the provision of environmental services, encourage young farmers, and promote on-farm investment.”
Other priorities in the IFA 2017 budget submission include:
Funding of €250m for agri-environment schemes in Budget 2017,with full payments for all GLAS, AEOS and organic scheme participants.Introduction of a targeted sheep scheme of €25m, with minimal costs and bureaucracy on farmers, to maximise its benefits.Additional funding for the Areas of Natural Constraint (ANCs) to reach €225m, commencing the process of restoring ANC payments to 2008 levels.Joe Healy said, “The Government commitment to increase funding to the ANCs by €25m in 2018 must be brought forward by a year, as this funding is urgently needed to support farm incomes in the most marginal areas. In advance of the full review of the ANCs, which will take place during 2017, IFA is looking for a one year increase in the maximum number of hectares on which ANC payments can be made.”
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