Irish Times: Rich Dublin 4 people buying farms to reduce CAT

[Brendan Burgess]

The D4 farmers: Why the rich are buying up land to avoid inheritance tax

Rules to limit use of relief for tax planning are on the way but have not yet been activated

www.irishtimes.com

 

[ClubMan]

Paywalled.

 

[ClubMan]

Another article in a similar vein that isn't paywalled.

Land grab by wealthy to avoid tax 'forcing farmers off land'

Farmers are being forced off the land due to a tax loophole being used by wealthy families to avoid large inheritance tax bills, writes Garreth MacNamee.

businessplus.ie

The Irish Times headline uses "D4" in the clickbait headline but doesn't mention Dublin 4 in the actual article body.

 

[Dr Strangelove]

The Irish Times headline uses "D4" in the clickbait headline but doesn't mention Dublin 4 in the actual article body.

My own thoughts exactly!

There are rich people in Cork too much more likely to be buying land nearby.

 

[Fortune]

There are rich people in Cork too much more likely to be buying land nearby.

First line of the article:

In west Cork, there has been an influx of rich Dublin buyers in the area of late

 

[joe sod]

Will this be a new angle for the Ross O Carroll/Kelly character to exploit,
"Dad bought me a form in Cork but I really wanted an aportment in Stillorgan"

 

[rob oyle]

It's incredible that these reliefs continue without limit. Trying to cap them in the UK brought out the farmers groups in opposition, but no consideration of it here.

 

[ClubMan]

but no consideration of it here

From the Irish Times article:

While the Government has become wise to the unforeseen use of the relief, more restrictive measures announced in last October’s budget have yet to come into play. Non-farming families still have time to make use of the relief before the changes are legislated for.

 

[T McGibney]

It's incredible that these reliefs continue without limit

They haven't operated without limit for many years.

The Irish Examiner article that @ClubMan linked above is very misleading.

 

[Dr Strangelove]

They haven't operated without limit for many years.

Indeed they are not without limits.

But it’s explicit government policy to make farming basically a hereditary profession via the tax system.

As an urban dweller I don’t really get it.

 

[T McGibney]

Farming is a trade, not a profession.

And the preservation of family farms (and businesses generally) is deemed a socially desirable objective.

 

[rob oyle]

It's incredible that these reliefs continue without limit. Trying to cap them in the UK brought out the farmers groups in opposition, but no consideration of it here.

Correction: no financial limits on these reliefs. Billionaires are not buying up land at a vast scale because the regulations are onerous.

 

[T McGibney]

Billionaires are not buying up land at a vast scale

That bit is correct.

 

[Fortune]

brought out the farmers groups in opposition

Brought out a load of rich people like Jeremy Clarkson

 

[Fortune]

And the preservation of family farms (and businesses generally) is deemed a socially desirable objective.

It could even be increased. Sugar and flour production doesn't seem to happen in the state any more

 

[ClubMan]

Sugar and flour production doesn't seem to happen in the state any more

Alright Dev...

In 1932, the Irish Free State and Britain began what's known as the Economic War. This had far-reaching consequences for them and Northern Ireland (CCEA). - BBC Bitesize

In 1932, the Irish Free State and Britain began what became known as the Economic War which had far-reaching consequences for them and for Northern Ireland.

www.bbc.co.uk

 

[T McGibney]

flour production doesn't seem to happen in the state any more

That doesn't seem to be remotely true.

 

[ClubMan]

That doesn't seem to be remotely true.

Our daily bread: should Ireland grow more grain for human consumption?

With overall tillage area declining and changing weather patterns affecting crops, many believe we should be focusing on becoming self-sufficient in producing milling grain, writes Janine Kennedy.

www.farmersjournal.ie

In 2023, 69% of our flour came from the United Kingdom.
In a 2020 report prepared by Professor Michael Wallace (UCD) for Tillage Industry Ireland, it is mentioned that Irish wheat production for flour milling makes up only a tiny share (c.6%) of Ireland’s output.

 

[T McGibney]

it is mentioned that Irish wheat production for flour milling makes up only a tiny share (c.6%) of Ireland’s output.

The production of wheat for export doesn't contradict the fact that Ireland has domestic flour milling facilities.

 

[Protocol]

What is the tactic here?

To meet the farmer test, to reduce CAT on disposal of land?

Surely it's the receiver of the gift/inheritance that avoids the CAT, so what difference does it make to the rich D4 person?