To be concerned about the farms

[Rubytuesday77]

i find it quite concerning that many fsrms will cease to exist with the government inheritance taxes etc. I just don’t understand why the government seems hell bent on taxing them out of existence. Food prices will inevitably shoot up surely.

We asked that question yesterday of our accountant and the advice was no CGT on gifts but on sale if the asset (maybe in 40 years!) would attract CGT from the date of purchase of the land not the date of the gift (e.g 40 years before we were gifted it.). But, it was a long meeting with a lot of technical stuff that isn’t my expertise so I may have misunderstood!

@WhitegreeNcandle no that makes sense. If you gift an asset you can defer the CGT to when the recipient later sells it.

Do you not realise that it will affect everyone in the UK - especially the poorest and most vulnerable. I'm a "townie" but I'm aware of that. I don't get why others aren't.

It's a food security issue, and there's a real risk of increases in food prices.

So even if you don't have sympathy for worried farmers, you might want to consider the wider implications.

To add, I personally do have sympathy for farmers. A lot of sympathy. And I was so sorry when I heard the terribly sad news the other day - a farmer has killed himself as he was so worried about his family losing the farm.

I agree with pp. What's needed is a change to the government's farming IHT plans - so rich people who exploit the loophole pay their share, but proper working farms remain exempt.

Does the inheritance tax have to be paid immediately or is there a grace period?

I couldn't have put it better myself. We have a small family farm,200 acres,you know,the ones that Labour said that they would "protect". This will finish us off if it is allowed to go ahead,we barely make a living as it is,3 of us have off farm jobs as well as working on it,and 3 of the others are still working on the farm in their eighties. Yes,that's right,hard, physically dangerous work in their eighties.

The APR was small compensation for providing food,a lot of the time,for less than the cost of production. I'd never believe a word that Labour said anyway,but they promised that they'd leave APR alone ( like they promised to keep the winter fuel allowance and not increase university fees).
I've spent the last year,slowly trying to repair farm buildings that leak or are falling down. I might as well not bother,because if I improve them, they'll become more valuable and our tax bill will become higher. Same goes for machinery,I'd love to replace one of our ancient tractors,the newest is 35 years old. But even if we could afford it,there is no sense in it,as it'll push our tax bill higher. Better to struggle on with what we've got.
The general public better believe that we are angry,and I've never seen anger like this in my life. My family have discussed it and we will take part in any protests,strikes or anything that lets this rotten,lying government know that we mean business.

My family have discussed it and we will take part in any protests,strikes or anything that lets this rotten,lying government know that we mean business.

@Feckedupbundle theres a protest in London on November 19th.

There’s a 10 year period to pay it but it would accrue interest.

it’s the figures though - e.g friends of ours would owe in the regions of 600 000k if their parent died as soon as this come in. Even spread over 10 years that’s a hell of a lot of cash to find in addition to the other squeezes on farming incomes. Lots of farms will be making very very little profit next year due to high inputs and low yields. They done have the cash flow to find to pay it.

Thank you for explaining and good luck!

This will be the same as shares and other things that have gone up in value.
My husband gave me some shares as he had a bigger pension than me. I did not have to pay CGT on them but the original date he bought the shares is still recorded. If I sell the shares I will have to pay CGT on the increase in value from the original date.

This.

There have been excellent responses on many of the other threads about this topic.

I was driving this evening and saw a sticker on a car saying “no farms, no food”. I hope that the farmers take action and I support them in doing so.

this is a really serious issue and I am concerned that the government don’t even know what they’ve done - just seen an opportunity for a cash grab, again pretended that they are just closing a loophole. When in fact they are removing a fair and necessary exemption and fucking our nation long term re food access. We are already on an island and import so much of our food. To screw farmers like this is absolutely idiotic.

Same and I agree

I have been feeling very angry about this policy as I care a lot about small family farms and food security.

The point above about farmers voting for Brexit and ending farming subsidies reduced my sympathy significantly.

It's a tough one.

I live in a farming area and cannot understand the continued adulation of people like Clarkson among farmers. Its people like him and Dyson and other wealthy individuals who have bought land to dodge IHT which have brought this about it. And they still get to pay IHt at a reduced rate.
Could Labour have tried harder to target these wealthy individuals? I don't know enough of the technicalities. But they are surely the ones who ought to be getting zero relief

Jesus. They don’t hate peiple who don’t vote for them. This stupid team sport posturing is everything that’s wrong with the U.K. currently. Grow up ffs.

Read this.

Farming is a public service! Can someone please remind Labour of that basic fact.