Planning for the Future: Transferring the Family Farm
- A farm transfer is a process and not an event. It needs to be carefully planned and thought out.
- Over the years land has become very valuable. From 1980 to 2020 it has increased in value from €2,135.95 to €10,316.00 per acre.
- When a farm has been built up over generations, there is huge possibility for arguments and division to develop. It is important that every stakeholder has their input. It is important to get the correct professional advice and it may be worth considering engaging a mediator.
- The future care and income need of the transferor cannot be disregarded. One also needs to be aware of the Fair Deal Scheme and any implications if could have on the farm transfer.
- Taxation issues need to be carefully examined. There are three main taxes associated with property transfers, namely Capital Gains Tax, Capital Acquisitions Tax and Stamp Duty.
Micheál Collins is an accountant with FDC in Bantry and Skibbereen.