The land leasing exemption is available to land owners who let their land under a qualifying lease
A qualifying lease:
- is in writing or evidenced in writing.
- contains the names and addresses of the lessor(s) and lessee(s).
- specifies the acreage, address, location etc of the land.
- sets out the terms of the lease.
- is signed by the lessor(s).
- must be for a definite term of five years or more.
A qualifying lessee:
- can be an individual or a company.
- must carry on the trade of farming.
- must be unconnected to the lessor.
The relief is given as a deduction in computing the total profits or gains chargeable to tax under Case V of Schedule D.
The amount of relief given is:
5 years or more but less than 7 years €18,000
7 years or more but less than 10 years €22,500
10 years or more but less than fifteen years €30,000
15 years of more €40,000
Please contact us if you want to discuss further