Radio Kerry understands the High Court has ruled in Kerry Co-op’s favour in relation to an ongoing legal battle over income tax on patronage shares.
The case, which was heard in the High Court in March, relates to income tax on patronage shares received by 3,500 farmers from Kerry Co-op, during the 2011 to 2013 period.
In 2020, the Tax Appeals Commission informed Kerry Co-op that patronage shares issued to suppliers would not be subject to income tax.
However, that decision was appealed by the Revenue Commission.
This ruling means that patronage shares will not be classed as income and therefore, not liable for income tax.
The tax bill in question for the 3,500 farmers was estimated to be in excess of €20 million.
Radio Kerry contacted the Courts Service, which says no such judgement has yet been published.
The Revenue Commission will have a 28-day period to appeal the decision.