Paschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

Amendment No. 67 in the names of Deputies Fitzmaurice and McGrath proposes that in relation to the consolidation of farms, a stamp duty rate of 1% would apply. Deputy Michael McGrath’s amendment No. 76 calls for a report into the possible extension of the current CGT relief for farm restructuring to encompass stamp duty also.

There was a stand-alone stamp duty relief that previously operated for the consolidation of farms. Section 81C of the Stamp Duties Consolidation Act 1999 allowed a farmer to claim relief from stamp duty where he or she sold and purchased land, in order to consolidate his or her holding, where both the sale and purchase occurred within 18 months of each other. The relief applied provided Teagasc had issued the farmer with a consolidation certificate in respect of the sale and purchase.

Deputy McGrath has raised this matter with me and I also engaged with his colleagues. I also acknowledge the interest in this among other colleagues, including Opposition Members and Deputies Peter Burke and Pat Deering. I intend to bring forward a Report Stage amendment to the Finance Bill to provide a stamp duty relief in circumstances where similar conditions would apply.

Capital Gains Tax Relief for Farm Restructuring is approved under the agricultural block exemption regulation 2014-2020, Commission Regulation No 702/2014. It may be the case that a measure to provide a stamp duty relief in circumstances where the conditions similar to those applying to the CGT farm restructuring relief or the previous stamp duty relief have been met will need to obtain similar state aid approval. It may therefore be necessary to provide that a stamp duty relief for farm consolidation transactions is subject to a commencement order. It is a matter of which I am aware, several colleagues have raised it with me and I intend to bring forward an amendment on Report Stage, and as such perhaps in the circumstances the Deputies may wish to withdraw their amendments Nos. 67 and 76.