Joint Herdowners -Tax Implications

MaxPower131

I would be most grateful if you could clarify the following query as I have been unable to locate an answer online.



I currently help out on my fathers farm and he has asked me become a joint herdowner. (Department of Agriculture Form ER1.1) However I shall not receive any benefit financial or otherwise from my new role. SFP payments etc will probably be in our joint names but my auld lad will keep those.


I assume that given my father will receive all the income from the farm that me entering in joint herdownership will not create any tax liability for me.

Can anybody confirm this for me?

Many thanks in advance.

ravima

what 'benefit' will you get? Will you be getting any income from the farm at all?

MaxPower131

ravima wrote: »

what 'benefit' will you get? Will you be getting any income from the farm at all?

Down the road I'll inherit the farm so I suppose this is the first step. My father is rather cautious so would like to "ease" me into it!

99nsr125

MaxPower131 wrote: »

I would be most grateful if you could clarify the following query as I have been unable to locate an answer online.



I currently help out on my fathers farm and he has asked me become a joint herdowner. (Department of Agriculture Form ER1.1) However I shall not receive any benefit financial or otherwise from my new role. SFP payments etc will probably be in our joint names but my auld lad will keep those.


I assume that given my father will receive all the income from the farm that me entering in joint herdownership will not create any tax liability for me.

Can anybody confirm this for me?

Many thanks in advance.

Haven't looked at this type of thing in a little while
but the situation was;

Holder of herd/flock numbers etc are responsible for the
welfare of the animals to include TB tests etc.

Whether they benefit financially
from the animals is a different matter.

Somebody will be recording income/profit/loss
on accounts submitted to the revenue currently,
The "Somenody" can remain the "Whole and Only"
benificary.

In other words add your self to the herdnumber
as a start but not to the SFP.

As a joint herdnumber signitary if the animals break
out and cause damage YOU are jointly responsible.

MaxPower131

99nsr125 wrote: »

Haven't looked at this type of thing in a little while
but the situation was;

Holder of herd/flock numbers etc are responsible for the
welfare of the animals to include TB tests etc.

Whether they benefit financially
from the animals is a different matter.

Somebody will be recording income/profit/loss
on accounts submitted to the revenue currently,
The "Somenody" can remain the "Whole and Only"
benificary.

In other words add your self to the herdnumber
as a start but not to the SFP.

As a joint herdnumber signitary if the animals break
out and cause damage YOU are jointly responsible.

Many thanks 99nsr125, I was hoping it would be along those lines.