Macra reaction to tough 2010 budget
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IN reaction to the Budget Macra na Feirme, national president, Michael Gowing said it was a tough budget for all.
He expressed extreme disappointment by the lack of specific support for young farmers who are key to driving the recovery of the rural economy.
He welcomed the allocation of money for a new AgriEnvironment scheme; however, Macra believe a higher rate of funding was required to make provision for new entrants under the scheme.
Mr. Gowing said farmers, who never had the opportunity to enter REPS in the past, particularly young farmers must be a top priority in the environmental scheme. "These young farmers can't be over looked as it seems that the Government's addressing of the current economic challenges facing the Irish economy by stabilising the public finances, is resulting in a negative effect on young farmers trying to enter farming as previous budgets had a disproportionate effect on them with the suspension of young farmer schemes," he said.
Macra also welcomes the integration of the income levy into the tax system.
This will address the disproportionate effect on farmers as the old levy was calculated on gross income and did not factor in items such as depreciation on building, he said.
"The quantity of produce sold by farmers often provide them with a high gross income, however, farmer's net incomes are well below the industrial average wage resulting in a higher tax levy compared to other sectors," the MACRA leader said.
