Farm Diversification - Beware the Tax Pitfalls

Introduction

Farm diversification is becoming increasingly more commonplace. Changes to farm subsidies as well as unpredictable weather and fluctuating input costs have led many farmers and landowners to explore new ways of generating income from their land.

Whilst this diversification can bring in welcome extra revenue, there can be some ‘tax traps’ for the unwary, and there are certain things which could be done to make the new venture more tax efficient.

This new virtual classroom seminar is aimed at anyone giving tax advice to farmers and landowners and will cover income tax considerations as well and Capital Gains Tax and Inheritance Tax, including the impact of the proposed changes to IHT from April 2026.

This session will also explore the tax risk areas as well as planning opportunities to consider.

What You Will Learn

This live and interactive session will cover the following:

• What are some of the more common types of farm diversification and what is their expected tax position?
• Trading v non-trading - and why does it matter?
• How to ‘move the dial’ towards trading
• Furnished Holiday Lets - what is the position post April 2025
• How to avoid falling into the ‘wholly or mainly’ trap and potentially losing valuable IHT reliefs
• Why accounts presentation can be important
• Environmental schemes and nature capital markets - what is the current tax position?
• How is all this impacted by the proposed changes to IHT from April 2026?
• Planning opportunities and how this can tie in with succession planning

Recording of live sessions: Soon after the Learn Live session has taken place you will be able to go back and access the recording - should you wish to revisit the material discussed.