The Vice Chair of Kerry IFA says removing a tax relief that exempts farm diesel from increases in carbon tax would be a complete and utter disaster.
The relief dates back to 2015 and allows farmers to make a deduction from their tax bill at the end of the year for diesel.
However, it is reported the Department of Finance Tax Strategy Group says there is a case to review the relief ahead of Budget 2021 due to policies on climate change.
The group says if the relief continues other sectors would have to bear the full costs of carbon tax increases.
Vice Chair of Kerry IFA, Neilus O’Connor, who works as a farm contractor, says the technology for electric vehicles isn’t there for heavy machinery: