Purchase, sale or disposal of a ‘lifestyle farm’

Key points

• Will there be farm purchase opportunities after the Covid-19 outbreak?
• Despite suggestions inheritance tax advantages for farms remain unchanged.
• Remember that agricultural property relief is restricted to agricultural value.
• Rollover relief has become more attractive since the changes to entrepreneurs’ relief.
• The 25% of total income cap on losses does not apply if relief is given against capital gains.
• The stamp duty land tax mixed-use rate can be advantageous.

There have been many negatives written about the ‘lifestyle farmer’ (or ‘lifestyler’ as they are known) by the farming press. The generic advantages are considered to be providing employment investing capital into agriculture helping improve farms and the like. But what are the particular tax advantages of buying...