Paul Kehoe (Wexford, Fine Gael)
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128. To ask the Minister for Finance if there are allowances available for capital acquisitions tax agricultural relief for persons (details supplied); and if he will make a statement on the matter. [19272/16]

Michael Noonan (Limerick City, Fine Gael)
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I am advised by Revenue that gifts and inheritances of agricultural property, including land, qualify for relief (known as 'agricultural relief') from the payment of Capital Acquisitions Tax (CAT) once certain conditions are satisfied. These conditions apply to anybody receiving a gift or inheritance of agricultural property and there are no specific allowances available for individuals with a disability.

Section 89 of the Capital Acquisitions Tax Consolidation Act (CATCA) 2003 provides for 'agricultural relief' which takes the form of a 90% reduction in the taxable market value of the gifted or inherited agricultural property. Arising from recommendations made as part of the Agri-Taxation Review in 2014, additional measures have since been introduced to ensure that tax-relieved agricultural land is used productively.

The requirement for a person who receives a gift or inheritance of agricultural property (the beneficiary) to have one of the specified agricultural qualifications (i.e. those listed in Schedule 2, 2A or 2B of the Stamp Duties Consolidation Act 1999) does not apply in all situations. Where the beneficiary does not have such a qualification, he or she has the alternative option of qualifying for agricultural relief by actively farming the agricultural land. A person is regarded as actively farming where he or she farms the land on a commercial basis for at least 50% of his or her normal working time for at least 6 years after receiving the gift or inheritance. However, instead of personally farming the land, a beneficiary may lease the land to another person who, in turn, actively farms the land.