Brendan Smith (Cavan-Monaghan, Fianna Fail)
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52. To ask the Minister for Agriculture, Food and the Marine for clarification of entitlements under the basic payment scheme, with particular reference to the administration of estates, as outlined in correspondence (details supplied); to provide clarity in relation to this issue to enable persons to prepare applications under the 2016 scheme; and if he will make a statement on the matter. [8778/16]

Simon Coveney (Cork South Central, Fine Gael)
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Basic Payment scheme entitlements which were allocated and activated in 2015 may be transferred in 2016 by a variety of methods including inheritance , sale and lease. Where entitlements are the subject of inheritance they must be inherited by the rightful beneficiary in the first instance prior to transferring them by lease. Entitlements may not be leased out by the Reps of a deceased farmer. In the event that a Grant of Representation is not available at the time of application to inherit the entitlements, an Indemnity on the Transfer of Entitlements will be accepted in lieu. The Indemnity Form is available on my Department’s website. Basic Payment Scheme entitlements may be used by the Reps of a deceased farmer in 2016 by submitting a Basic Payment scheme application form on behalf of the estate.

A person inheriting Basic Payment Scheme entitlements, who does not intend to farm, may apply for a BPS Transfer Number by contacting the Inheritance Enquiry Unit of my Department at lo-call 0761 064428. This number can be used for the purpose of inheriting the entitlements and either leasing or selling them to an active farmer who will be in a position to use the entitlements.

The Single Payment Scheme was introduced to Ireland in 2005 and operated until 31 December 2014. Payment entitlements allocated under that scheme were not attached to land and formed a separate proprietary asset in the estate of a deceased farmer. As such, where payment entitlements were not specifically mentioned in the will, they formed part of the residue of the estate. In 2015 the Basic Payment Scheme was introduced to Ireland and Regulation 1307/2013 provided for the allocation of payment entitlements. The relevant Division within my Department is currently in consultation with my Department’s Legal Services Division in relation to situations where a will is silent on payment entitlements.

My Department’s Inheritance Enquiry Unit provides advice and expertise on all issues relating to inheritance and administration of estates as relevant to all Department schemes and services and may be contacted at 0761 064 428.