Dáil Éireann Debate, Tuesday - 18 December 2012
136. Deputy Ciara Conway asked the Minister for Finance further to recent budgetary announcements if a person (details supplied) may qualify for Capital Gains Tax for agricultural land rollover relief; and if he will make a statement on the matter. [56824/12]
View answerRelief from capital gains tax was available where a farmer sold land and used the proceeds to purchase other land for use in farming. This relief (commonly referred to as roll-over relief) was a deferral of the capital gains tax until the replacement land was sold or ceased to be used for the purposes of farming. However this relief ceased with effect form 4 December 2002. You will be aware that I announced in Budget 2013 that I am introducing relief from capital gains tax, to enable farm restructuring, where the proceeds of a sale of farm land are reinvested for the same purpose. This relief will apply to the sale and purchase of farm land and to farm land swaps within 24 months of each other, during the period commencing 1 January 2013 and ending on 31 December 2015, subject to certification by Teagasc for all transactions seeking relief.
I understand that the person whose details you supplied bought farm land earlier this year. The purchaser would not have a Capital Gains Tax liability on this transaction. The relief announced in Budget 2013 will not apply in relation to transactions that take place before 1 January 2013.
