Farming Group Newsletter – Issue 23

18th January 2024
Over And Out

 

This will be the final Agricultural Newsletter produced during my tenure as Chair of our Farming Group and it would not be right if taxation was not considered in at least one contribution. Mike Blackledge provides for this with a review of the consequences of multiple rates of Corporation Tax where Companies are associated.

 

Over the previous issues of the Farming Group Newsletter the effect of regulation has been a frequent topic. Once again this produces subject matter, with contributions from Stephen Malkin on the ‘Trust Registration Service’ and Steven Denton on ‘Auto-Enrolment Pensions’. We may have imagined that the existence of a registerable trust would be easy to identify but the inclusion of non-taxable trusts in the registration requirements provides a banana skin and a potential penalty of £5000 for getting things wrong, a hard landing. As for auto-enrolment it seems to me that the only thing that’s automatic is the opportunity to apply the rules incorrectly.

 

What else to expect from this issue

Louise Bassett also addresses regulation but her comments on the Sustainable Farming Incentive and Biodiversity Net Gain (BNG) offer prospects for additional sources of income for farmers who elect to embrace the rule books.

 

I have commented on the ‘Evolving Market Arrangements’ for agricultural produce and the trend towards prescriptive requirements from customers. The ability to trace produce along the supply chain makes the retailers’ promises, the farmers’ challenge.

 

Finally, I come to Chris Ridgeon’s observations on the issues of ‘Divorce For A Farming Family’. Inevitably we accountants focus on the financials but there is a nod to the emotional context behind these. Nevertheless capital values inherent in agriculture throw up challenges not faced by less asset-rich couples.

 

I hope you find our Newsletter interesting. I have enjoyed my role in the production of this and the previous issues and I trust that Louise Bassett who succeeds me as Chair of the Whitings LLP Farming Group will bring fresh ideas to future issues.

 

Click here to read Issue 24 of our Farming Group Newsletter

 

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