BISS Entitlements (formerly known as BPS)

    
 
                                

Joseph Naughton Auctioneer will CLOSE FOR THE TRADING OF ENTITLEMENTS BUSINESS FOR 2023 on MONDAY 22ND MAY AT 6PM in order submit the last of the transfer of entitlements applications and solve any issues that may arise.

We have turned off the phones until Wed 31st May 2023 in order to submit the last of the applications. 

We will do our best to respond to emails. This email address is being protected from spambots. You need JavaScript enabled to view it.

 

Basic Income Support for Sustainability (BISS ) (previously known as BPS Entitlements) CAP 2023-2027  

ENTITLEMENTS NOW AVAILABLE FOR PURCHASE or LEASE 

 

                          SHOULD I BUY OR LEASE ENTITLEMENTS IN 2023 OR A MIXTURE OF BOTH?

 

WHEN YOU BUY ENTITLEMENTS YOU ARE BUYING AN INCOME STREAM.

FROM OUR EXPERIENCE PEOPLE BUY ENTITLEMENTS FOR OWNED LAND AND LAND LEASED LONG TERM.

PEOPLE LEASE ENTITLEMENTS YEARLY FOR LAND RENTED YEARLY.

ANOTHER COHORT OF PEOPLE WHO WE SEE WHO ARE GETTING ENTITLEMENTS ARE FARMERS WHOSE LAND HAS BECOME ELIGIBLE(WHERE IT HAD NOT BEFORE NOW, ONCE 50% OF A LAND PARCEL IS ELIGIBLE THE ENTIRE 100 % OF THE LAND PARCEL IS DEEMED ELIGIBLE TO ACTIVATE ENTITLEMENTS)

FOR EXAMPLE LARGE TRACKS OF THE BURREN IN CLARE HAS BECOME ELIGIBLE TO ACTIVATE ENTITLEMENTS ON. LAND OWNERS HAVE LEASED IN AND PURCHASED ENTITLEMENTS FROM US SO FAR IN 2023 FOR THE LAND THAT HAS BECOME ELIGIBLE.

THERE ARE LARGE AREAS OF SCRUBLAND NATIONWIDE THAT HAS BECOME ELIGIBLE AND FARMERS SHOULD ASK THEIR AGRICULTURAL CONSULTANT HAS LAND OF THEIRS BECOME ELIGIBLE TO ACTIVATE ENTITLEMNTS IN 2023.

WE ALSO SEE STUD FARM OWNERS BUYING ENTITLEMNTS FOR THE FIRST TIME. IT APPEARS THAT EQUINE FARMERS ARE NOW ELIGIBLE FOR THE TAMS (GRANT AID FOR STUD RAIL FENCING, SOLAR PANELS ETC). BUT THEY MUST SUBMIT A 2023 BISS APPLICATION TO BE ELIGIBLE.

WE ALSO HAVE SOLD ENTITLEMENTS TO STUD FARM OWNERS IN 2023 WHO SEE THEM AS A GREAT INVESTMENT.

 

WITH THE LEASE OF ENTITLEMENTS, YOU WILL ALMOST DOUBLE YOUR INITIAL INVESTMENT WITHIN THE YEAR (based on the application being processed by Oct )

 

WITH THE PURCHASE OF ENTITLEMENTS, YOU WILL DOUBLE YOUR INITIAL INVESTMENT OVER THE 5 YEAR 2023-2027 CAP, IF THE CAP ROLLS-OVER THEN YOU WILL GAIN EXTRA PROFIT. (depending on the value of the entitlements purchased)

 

Entitlements will be sold or Leased at a multiple or percentage of the NEW BISS 2023 net unit value.

It has been confirmed by DAFM that the 2027 value of entitlements will the same as the 2026 rate.

 

 BISS Entitlements can be Purchased or Leased for the following reasons:

1. If you have more eligible land than entitlements

2. If you have eligible land rented, leased or purchased

3. BISS Entitlements can be leased or purchased and activated on eligible lands that you intend to plant trees on.

 
 4. To increase your BISS by upgrading your present entitlements.
       
 5 .To generate an asset for the future in  2023-2027 and probably further years.

        

ADVANTAGES  FOR LEASING ENTITLEMENTS IN 2023 :

1:THE COST OF LEASING ENTITLEMENTS IS A TAX DEDUCTIBLE EXPENSE.

2:A FARMER LEASING IN ENTITLEMENTS WILL ONLY HAVE TO COME UP WITH A PERCENTAGE OF THE YEARLY PAYMENT WHICH IS CONSIDERABLY LESS COST THAN IN PREVIOUS YEARS.

3: IF FOR SOME REASON A FARMER HAS LESS ELIGIBLE HECTARES IN FUTURE YEARS , HE DOES NOT HAVE TO LEASE IN ENTITLEMENTS AGAIN.

4: WITH THE LEASE OF ENTITLEMENTS, YOU WILL ALMOST DOUBLE YOUR INITIAL INVESTMENT WITHIN THE YEAR (based on the application being processed by Oct )

 

TO DISCUSS FURTHER PLEASE CONTACT : JOSEPH NAUGHTON,

OFFICE: 09096 46046 or 090960 31630   MOBILE: 087 2348705  

EMAIL:  This email address is being protected from spambots. You need JavaScript enabled to view it.

    

EXAMPLE WHY A FARMER WOULD LEASE OUT ENTITLEMENTS IN 2023

A FARMER MAY NOT BE ABLE TO ACTIVATE ALL OF HIS ENTITLEMENTS IN 2023 AND HAS THE OPTION OF LEASING OUT ANY NUMBER OF ENTITLEMENTS.

REASONS WHY A FARMER MAY NOT BE ABLE TO ACTIVATE ALL HIS ENTITLEMENTS WOULD BE :

1:IF HE SOLD LAND AND DIDN'T SELL THE ENTITLEMENTS WITH IT

2:IF HE LOST RENTED LAND

3: IF THE AREA OF ELIGIBLE LAND WAS REDUCED AFTER AN INSPECTION

4: IF THEY SOLD SITES

5: IF BUILDINGS OR ROADWAYS WERE ERECTED ON THEIR LAND

 

 CONTACT US ON  09096 46046/ 09096 31630 or  087 2348705 or email This email address is being protected from spambots. You need JavaScript enabled to view it. to DISCUSS YOUR OPTIONS

 

 

 

       

There is NO clawback on the sale of entitlements in 2023

This means that a farmer can sell up to 100% of their entitlements without any claw-back or loss to the national reserve.

In 2023 It will be possible for farmers to sell and purchase entitlements

In some circumstances it may be a good idea to sell any small number of entitlements that cannot be activated instead of Leasing them out.

The BISS unit value of entitlements in 2023 will be approx 62% of the value of the entitlements in 2022 as the greening is not attached to the entitlements from 2023 onwards.

 

Disclaimer: Joseph Naughton Auctioneer its employees or officials, accept no liability for any errors or omissions in the information provided

or for any loss or damage occasioned to any person as a result of using the information provided. The information contained 

should not be taken as constituting legal advice. 

   NOTICE 2023 Transfer of Entittlements On Line Application 

ALL APPLICATIONS MUST BE SUBMITTED ON-LINE 

IT WILL NOT BE POSSIBLE TO TRANSFER ENTITLEMENTS BY WAY OF LEASE OR SALE  WITHOUT BEING REGISERED ON AGFOOD.IE

IT WILL NOT BE POSSIBLE FOR A FARMER TO PURCHASE OR LEASE IN ENTITLEMENTS WITHOUT BEING REGISTERED ON AGFOOD.IE

 

ALL APPLICATIONS MUST BE SUBMITTED ON-LINE BY THE TRANSFEROR AND ACCEPTED ON-LINE BY THE TRANSFEREE BEFORE THE 29TH MAY 2023

THIS IS ONLY THE APPLICATION AND THE TRANSFER HAS TO BE PROCESSED BY THE DEPT OF AGRICULTURE BEFORE THE FUNDS CAN BE RELEASED TO THE HERD OWNERS

 

 

   LATEST INFORMATION RE LEASING ENTITLEMENTS IN 2023

 

In order to receive a payment on leased in entitlements , the herd owner must be registered on AGFOOD.IE & submit a BPS Application (please speak to your agricultural advisor )
 
The application has to received on-line by the Dept of Agriculture before the 29th May 2023
 
This means the herd owner must select Joseph Naughton as Entitlement Transfer Facilitator (ETF) to accept the transfer of entitlements application before the 29th May 2023
 

 

https://cap-calculators.apps.rhos.agriculture.gov.ie/payments

This calculator is made available for guidance only. By using this calculator, you agree that Joseph Naughton Ltd and his staff shall not be held responsible in law in relation to the content, information, output or conclusions arising from the use of this calculator by any party. The information contained in this calculator is provided as an aid to farmers in understanding the calculation of entitlement values and the results should not be regarded as providing definitive entitlement values for the period 2023-2027.

 

OFFICE: 09096 46046 or 090960 31630   MOBILE: 087 2348705  

 

EMAIL  This email address is being protected from spambots. You need JavaScript enabled to view it.                                                                                                                                                                                                              

IMPORTANT NOTICE

PLEASE ONLY SELECT JOSEPH NAUGHTON AS ENTITLEMENT TRANSFER FACILITATOR (ETF) TO LEASE OUT OR SELL  ENTITLEMENTS  AFTER SPEAKING TO HIM .

NO RESPONSIBILITY WILL BE TAKEN BY JOSEPH NAUGHTON TO LEASE OUT OR SELL ENTITLEMENTS  WITHOUT PRIOR CONSENT GIVEN BY HIM TO DO SO.

THE SYSTEM SET UP BY THE DEPARTMENT OF AGRICULTURE ONLY SHOWS THE NAME AND HERD NUMBER, IT DOES NOT SAY IF A FARMER WANTS TO LEASE OUT OR IN OR SELL OR BUY OR NUMBER OF ENTITLEMENTS OR UNIT VALUE 

ALL THESE DETAILS MUST BE GIVEN TO JOSEPH NAUGHTON BY THE HERD OWNER OR AGRICULTURAL CONSULTANT IN ORDER FOR THE TRADE TO BE PROCESSED ON-LINE BEFORE THE DEADLINE OF MAY 29TH 2023

                                       

Declan McEvoy IFAC Discussing Capital Gains Tax on the farm.

"A common view is that the rate of Capital Gains tax is 33%. This is correct , however there is another rate of Capital Gains Tax at 10% known as Entrepreneur's Relief "

This tax rate can apply to Farmers as well as other individuals. While Farmers do not usually class themselves as business people/ entrepreneurs, once they are carrying on a trade they are able to avail of this relief.

In order to qualify for the relief , the following must apply:

1. What one disposes of must be a qualifying business asset which covers farming as well as other sole traders & companies.

2. The business asset is an asset which has been used for the purpose of the business.

3. You must have owned the asset for a continuous period of 3 out of the last 5 years.

Please contact IFAC or your own accountant to see if selling your entitlements will qualify for this reduced relief

 
 

 

 
All Farmers who leased IN entitlements in 2022 with Joseph Naughton Auctioneer  MUST NOTE  that the 2022 entitlement lease ended on  31/12/22
 
 
A  2023 application to Transfer entitlement must be submitted to the Dept of Agriculture on-line before 29th May 2023
 
PLEASE MAKE CONTACT WITH JOSEPH NAUGHTON AUCTIONEER AS SOON AS YOU HAVE DECIDED TO LEASE IN ENTITLEMENTS IN 2023
 
THE SOONER THE APPLICATION IS MADE THE BETTER
 

OFFICE: 09096 46046 or 090960 31630   MOBILE: 087 2348705  

EMAIL  This email address is being protected from spambots. You need JavaScript enabled to view it.

 

 

 

Disclaimer: Joseph Naughton Auctioneer its employees or officials, accept no liability for any errors or omissions in the information provided

or for any loss or damage occasioned to any person as a result of using the information provided. The information contained 

should not be taken as constituting legal advice. 

 

       
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