Farming Partnership & Accounts Disclosure - Risks, Pitfalls & Proposed Changes

Introduction

Farming partnership accounts disclosure has always been important not just for calculating income tax liabilities but also for the very important subjects of capital taxes protection and partnership disputes.

Following the proposals announced in the 2024 Autumn Budget for the restriction of farming IHT reliefs from April 2026, the capital taxes position has taken on even more importance.

Farm accounts have to be submitted with the IHT 400, and it is vital that the accounts are presented in a way that is supportive of the capital taxes position to secure all available reliefs, especially as diversification away from core farming activities becomes more common place.

The accounts also must tie into the farm ownership understanding and can assist with succession planning, whilst clarity in the farm accounts disclosure can also help prevent partnership disputes.

This short webinar will provide you with all you need to know about farming accounts disclosure.

What You Will Learn

This webinar will cover the following:

• The role of farm accounts in capital taxes protection and the impact of the proposed IHT changes
• The accounts as evidence of trading and services provided for diversified ventures - the use of enterprise accounts
• Disclosure of lease and licence income and the possible impacts
• The importance of the land capital accounts reflecting the correct legal ownership position and the partnership agreement
• The role of capital accounts and the importance of drawings disclosure and agreement
• Freehold property notes reflecting/reconciling to CGT base cost
• How farm accounts are used as part of the probate application
• The importance of the will drafter seeing quality farm accounts for understanding
• Registration of partnership property under TRS and disclosure
• The change to the cash basis as the default method of preparing accounts - points to consider for farm accounts
• The impact of MTD for VAT and income tax

This pre-recorded webinar will be available to view from Thursday 18th December 2025

Alternatively, you can gain access to this webinar and 1,800+ others via the MBL Webinar Subscription. Please email webinarsubscription@mblseminars.com for more details.