3rd October 2018
Easier succession planning for QLD Farmers - Transfer Duty Concession
EASIER SUCCESSION PLANNING FOR QLD FARMERS - TRANSFER DUTY CONCESSION
Concessions on transfer duty for family farm transfers are now available and farmers are taking advantage of them!
Many farming families have already utilised this concession in their estate planning. For example, the transfer of a family farm worth $2 million from a father to a son would incur transfer duty of $95,525.00 without the concession.
Previously, the concession could only be utilised when transferring farming property between family members by way of a gift, for example, from father or mother to son. This limited the use of the concession where the farming property was owned by a company or trust. Currently the exemptions will also be available for certain partnership arrangements, certain acquisitions of shares in farming family companies and in situations where the farming property to be transferred is owned by a trust. There is also concessions where there is a purchase price payable!
These extra exemptions will be particularly useful where farming families are wanting to commence their estate planning to ensure the farm remains in the family name and haven’t yet been able to use the concessions.
MRH Lawyers is currently assisting many farmers with implementing succession planning and utilising the concessions. Contact Edward Maragna – Senior Associate 41 545 519.