More leeway to reinvest participants in the restructuring program

The application of the reinvestment reserve has been extended to pig farmers participating in the pig farm rehabilitation subsidy scheme (Srv). This has been approved by the Organization of Pig Farmers (POV), LTO Nederland, the Association of Accountants and Tax Advisers (VLB) and the tax authorities.

Pig farmers can use a wider application because the Srv can be viewed as government intervention. In the event of a company strike, they can use the expansion to, for example, switch to a new business activity.

Pig farmers who participate in the program to reduce odor nuisance for local residents receive a subsidy for the return of pig rights and compensation for the loss of value of the barns. Srv participants do not have to pay VAT on funds receivable. However, these must be included in the tax return accordingly.

Standard response

The PDV, LTO, VLB and tax authorities were unable to agree on a standard answer to all questions. A vision has been developed for tax issues concerning turnover, transfers and donations.

If an answer is desired, the problem can be submitted to the tax and customs administration via a prior consultation.