Willie Penrose (Longford-Westmeath, Labour)
Link to this: Individually | In context

Question 58: To ask the Tánaiste and Minister for Finance the courses a person must undertake and have appropriate qualifications in, in order to avail of the stamp duty exemption regarding land transfers, which was announced in budget 2006; if a person who has a 100 hour qualification in agriculture courses, can complement same with additional courses, to reach the required educational standard in order to gain such an exemption; and if he will make a statement on the matter. [22240/07]

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

Relief from stamp duty on the conveyance of farm land is currently available under section 81AA of the Stamp Duties Consolidation Act 1999. The main conditions for granting this relief are that on the date of transfer, the young trained farmer must be (a) under 35 years of age, and (b) the holder of a specified qualification. In addition, the young trained farmer must declare that he/she will retain and farm the land for a period of 5 years from this date. The third level courses that qualify under this scheme are listed in Schedule 2B to the Stamp Duties Consolidation Act 1999.

In broad terms, the present system is that where a farmer undertakes third level education that is not agriculture related, he/she must undertake Teagasc approved training in agriculture and farm management in order to qualify under the relief. Where the individual has successfully completed two years of a full-time third-level qualification, he/she can claim the relief where he/she has undertaken Teagasc approved training courses in agriculture and horticulture for 100 hours and in farm management for 80 hours. However, from 31 March 2008 the FETAC Level 6 Advanced Certificate in Agriculture will become the new minimum education requirement. The Advanced Certificate is of two years duration. However, in recognition of prior learning, persons with other third-level education may complete the programme in a shorter period. This change was announced in last year's Budget following consultation with the Minister for Agriculture and Food as well as Teagasc, it was agreed as part of the Partnership talks with the farming organisations in order to regularise the agricultural and farm management education of young farmers. Where a farmer completes the 80/180 hours Teagasc training before that date he/she can qualify for the relief under the old arrangements. In addition to the changes made to the education criteria of the relief in last year's Budget, the refunds procedure was greatly simplified, so that, among other changes, the former requirement for a specific minimum education attainment at the date of transfer is now abolished. This means that where a farmer has not completed his/her agricultural training before any land is transferred to him/her, he/she can claim a refund of any stamp duty paid at a later date, after they have completed the relevant training.

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

Approved Retirement Funds (ARFs) and Approved Minimum Retirement Funds (AMRFs) are part of the flexible options introduced in the 1999 Finance Act which allow certain categories of individual considerable flexibility and freedom in relation to the drawing down of benefits from their pension plans. Previously, such individuals would have been required to purchase an annuity with the pension fund moneys remaining after the drawdown of the appropriate tax-free lump sum. The option to have all or part of an individual's accumulated pension fund placed in an ARF is open to a qualified person (generally a proprietary director, self-employed individual and certain employees or directors in non-pensionable employment) who is either over 75 years of age or who has a guaranteed pension income actually in payment for life of at least €12,700 per annum. Where the guaranteed income requirement is not met, then an AMRF must be chosen into which the first €63,500 of the pension fund, or the whole of the fund if less than this amount, must be invested (alternatively an annuity can be purchased with the first €63,500 of the pension fund and the balance placed in an ARF). The capital in an AMRF is not available to an individual until he or she reaches 75 years though any income generated by the fund can be drawn down subject to tax. The purpose of an AMRF is to ensure a capital or income "safety net" for the relevant individuals throughout the period of their retirement. I have no plans to amend the AMRF rules in a manner that would undermine the rationale for the requirement, generally.