Agricultural services

A farmer who supplies agricultural services in addition to carrying on a farming business is obliged to register and account for Value-Added Tax (VAT), if the receipts from such agricultural services exceed or are likely to exceed the VAT threshold for services in any 12 month period.

The term agricultural services does not include insemination services, stock-minding or stock rearing, all of which may be excluded for the purposes of calculating the VAT threshold.

Farmers supplying agricultural services consisting only of insemination services, stock-minding or stock-rearing are not obliged to register for VAT but may opt to do so.

Further guidance contains more detailed information on the VAT treatment of agricultural services.

What is a farmer for VAT purposes?

You would be considered a farmer for VAT purposes if your supplies consist of agricultural produce or agricultural services or a mixture of both, with certain exceptions. A more detailed definition including the exceptions to it is contained in the farmers tax and duty manual.