Vol. 536 No. 2
253 Mr. Kirk asked the Minister for Finance if he will consider, as an exceptional measure, allowing capital expenditure on farms in County Louth, against tax liability for a shorter period than the six to seven years at present, where farmers opt to upgrade their farmyards or expenditure on mountain fencing, pending completion of the livestock repopulation process; and if he will make a statement on the matter. [13565/01]
Section 658 of the Taxes Consolidation Act, 1997, provides for allowances in respect of capital expenditure on farm buildings and other works to be written off over a seven year period. I have no plans to alter this scheme of allowances in respect of expenditure in County Louth or elsewhere due to the obvious difficulties in creating a tiered system of allowances based on geographical area. Further difficulties in introducing such a scheme would also be likely to arise within the context of the European Commission's state aid rules.
