The Taoiseach Simon Harris has proposed the introduction of new inheritance tax breaks for farmers and families in the upcoming Budget.

Speaking at the Virginia Show in Co Cavan today, the Taoiseach said that he is taking onboard farmers' anxiety around passing their farms on to the next generation.

“I’m very clear when it comes to inheritance tax, we need to act on this and I’d like to see action in the budget, I certainly will be ensuring there is action on my parties manifesto in relation to this because inheritance tax is hitting people in terms of families trying to pass on a home and also hitting farmers disproportionately as well,” he said.

The Taoiseach has said that succession is one of the biggest issues farmers raise with him and he has tasked Mr McConalogue with looking at a new retirement scheme for farmers

“In fairness to Minister McConalogue he has set up a taskforce and a commission to look at issues with generational planning and succession,” he said.

“It’s certainly not an ageist comment at all, but when I meet many farmers around the country they tell me that they have anxiety and worry about how they successfully pass the farm on to the next generation.

“They tell me that their sons and daughters have so many opportunities out there that it’s important that farming is maintained as an attractive career option for them. We have in the past had retirement incentive schemes in the 90s that worked quite well and what I have said is I know Minister McConalogue’s task force will look at all of these issues.”

The Taoiseach initially made the suggestion at the Tullamore Show recently that a new retirement scheme for farmers could help when it comes to succession issues at farm level.

“Farmers are saying to me this is my son or daughter and they would like them to be able to take over the family farm, but there are too many hurdles in their way and the Government needs to get out of their way and enable them to pass the family farm on successfully,” the Taoiseach said at Tullamore.

“A retirement scheme was in place in the 90s, with considerable success, and I’d now like Minister McConalogue’s commission to look at that.”

Reporting on:independent.ie