Revenue eBrief No. 310/24

10 December 2024

Stamp Duty Manuals – Section 81AA (Transfers of land to young trained farmers) and Section 81D (Relief for certain leases of farmland) SDCA 1999 – Finance Act 2024 Updates

Section 81AA of the Stamp Duties Consolidation Act (SDCA) 1999 provides for a relief from Stamp Duty in respect of transfers of agricultural land to young trained farmers, where certain conditions are met. Finance Act 2024 made two amendments to section 81AA:

  • Firstly, to provide that the active farmer condition may be met where the land is farmed through a company, where certain conditions are met.
  • Secondly, a new subsection (13A) was inserted to provide that a clawback will apply where the transferee fails to comply with the condition to farm the land for 50% of their normal working time.

Section 81AA: Transfers of land to young trained farmers has been updated to provide clear guidance in respect of these recent changes.

Section 81D of the SDCA 1999 provides for relief from Stamp Duty in respect of certain leases of farmland executed on or after 1 July 2018. It applies in respect of a lease for a term of not less than 6 years and not exceeding 35 years of any lands which are used exclusively for farming carried on by the lessee on a commercial basis and with a view to the realisation of profits. Finance Act 2024 made three amendments to section 81D:

  • Firstly, to state in the legislation that this relief (being a State aid) is granted in accordance with Commission Regulation (EU) No 1408/2013 of 18 December 2013.
  • Secondly, to provide that the relief may be claimed where the lessee is a company, where certain conditions are met.

Section 81D - Relief for leases of farmland has been updated to provide clear guidance in respect of these recent changes.