The Queensland Government has recently announced a Farm Management Grants Scheme for eligible primary producers and their children or relatives.
The scheme provides rebates of up to 50% of the cost of obtaining professional advice in relation to succession planning and the intergenerational transfer or sale of a farming business (including property) to a relative of the primary producer. The maximum payment available under the scheme is $2,500 per financial year.
The transfer or sale of the farming business must take place during the primary producer’s lifetime. Unfortunately, this means that the grant is not available to assist with the cost of obtaining estate planning advice relating to the transfer of the business after the death (i.e. in a Will).
The farming business being sold or transferred must be one that:
- is carried on by the primary producer;
- involves primary production, including the agricultural, apicultural, aquacultural, commercial wild-catch fishing, forestry, grazing and horticultural industries; and
- holds an Australian Business Number (ABN).
To be eligible for assistance, the advice must also be provided by an independent and suitably qualified professional adviser (such as a solicitor or accountant). The grant will be open to applicants until 30 June 2019 and applies to advice received after 23 March 2017. Applications may be submitted either before or after the professional advice is received.
The Scheme offers valuable assistance to clients considering their options for their business succession plan.
For legal advice relating to the sale and transfer of a business or business assets (including tax, duty and structuring advice), please contact a member of our team.