Eligibility for qualifying sugarcane farmers
Eligibility for qualifying sugarcane farmers
Section 49Q VEA
The criteria for transfer of a sugarcane farm or farms under the scheme that allows the sugarcane farm property to be disregarded under the disposal of assets rules are as follows:
- the sugarcane farm(s) must be transferred as a gift to an eligible descendant or eligible descendants within a specified timeframe,
- the person who transfers the sugarcane farm(s) must be a qualifying sugarcane farmer at the time of transfer,
- the transfer of the property must take place on or after 13 July 2004 and before 13 July 2007 or within a specified time frame allowed in certain limited circumstances,
- the person or the person's partner is at retirement age on or before 12 July 2007,
- the total value of the sugarcane farm(s) transferred, together with relevant sugarcane farm assets, does not exceed $500,000,
- during the last three years before the transfer is completed, the eligible descendant or descendants to whom the sugarcane farm(s) is transferred has had active involvement with a sugarcane farm,
- if the person is a member of a couple, the person's partner does not have a legal estate or interest in the sugarcane farm or sugarcane farms, or a legal interest in any relevant sugarcane farm assets, and
- the person satisfies the sugarcane farmers' income test for each of the last three financial years prior to transfer of the property.
Eligibility for widow/widower or former partner of a qualifying sugarcane farmer
Eligibility for widow/widower or former partner
Section 49Q(2) VEA
Where an eligible widow/widower or former partner of a qualifying sugarcane farmer has an interest in the farm, that person may also benefit from RASF, even though they themselves may not meet the definition of a qualifying sugarcane farmer. Such a person is still required to meet further eligibility requirements for RASF. In most cases, a widow or widower would meet the definition of a qualifying sugarcane farmer because ownership of the farm was transferred to them upon the death of their partner.