Rural Intelligence
for
Farms & Estates SUMMER 2022
Introduction Welcome to the summer edition of the Albert Goodman Farms and Estate’s newsletter. In putting our newsletter together, we aim to keep you up to date with financial and tax matters which may impact your business. Keeping abreast of change has never been more important in this fast moving and evolving business climate we currently operate in. It is now three months since Iain McVicar’s role changed to managing partner of the firm, and I took over the reins as Head of Farms and Estates. Iain continues to look after his farming clients and work with our team. Even in three months there has been so much change. As I write this today Boris Johnson has resigned and we will have wait to see who will lead our government and what change this might bring. Alongside this inflation has reached 9.1% and is expected to increase further. On the farm, the inflation rate for input costs is much higher so managing the business, cash flow and costs is vital to protect business continuity. There are also many new opportunities on the horizon for landowning businesses so making sure the business is well placed to benefit from those, at the right time, requires careful planning. It seems we also now have some recognition that food security needs to be placed higher up the political agenda. It will be interesting to see how this flows into policy change. I hope you enjoy the articles. Please do get in touch if you have any queries or comments.
Sam Kirkham PARTNER AND HEAD OF FARMS & ESTATES TEAM
Economy round up The state of the UK economy has shifted significantly since our last newsletter. The war in Ukraine has caused instability in the energy sector, which in turn has caused further cost increases. Farmers are being hit harder than the average person in the UK. The average household is seeing inflation of between 9 and 10%, whereas our farming clients are seeing inflation at around 28 to 30%. There is a real fear amongst economists that the UK will slip into a recession. Some economists, with the value of hindsight, feel that the Bank of England was too slow in raising interest rates following the reduction in early 2020.
INTEREST RATES We have seen steep rises in interest rates over the past quarter. We are likely to see further increases over the next 12 months. It is currently forecast that the base rate will rise to around 2.5% to combat the rise in inflation. However, the United States are predicting a rate over of 3%. I therefore believe that the Bank of England base rate will likely increase to be over 3% in line with the States’ predictions. The money markets are reacting to these likely increases. The cost of fixed rate money is now cheaper over the longer term than short.
INFLATION Inflation is currently at 9.1% (May 2022) it is likely that we will see this continue to rise. Many economists are expecting inflation in the UK to peak at around 10% in the winter months of 2022.
LABOUR Across most industries we are seeing labour shortages. There are currently 1.3m job vacancies in the UK, the normal level is around 850k. A labour shortage is driving an increase in labour cost. Employees have more bargaining power as they are in demand and the increase in the cost of living is causing Employers to have to give business wide salary inflation increases. Managing your staff is therefore more important than ever. There is balance between retaining your current staff and not allowing your wage bill to spiral.
ENERGY The cost of energy to the end consumer has risen immensely over the past 6 – 12 months. For most farming businesses this will have a considerable impact on their fixed costs. It is likely we will see further price increases over the winter when the demand for energy rises in domestic households. There is a real likelihood that we could see an energy shortage in the winter months. This shortage could be critical if we have another “Beast from the East”. In times of energy shortages, the UK pumps gas across the English Channel from Europe (from Russia). There is a high likelihood this back up supply will not be available or will come at an enormous cost.
Inflation is causing a cost of living crisis across the UK. Some feel that the concern from the media is slightly overhyped. The Bank of England reports show that cash deposits across the whole of the UK are up a sixth since the start of the pandemic. This would indicate that households should have enough cash reserves to cope with this cost of living increase. In farming we are currently seeing inflation of around 28 to 30%. This is likely to continue to rise, and whilst we have seen commodity and milk prices rise, at some point this will plateau.
TOM STONE Farms & Estates Team tom.stone@albertgoodman.co.uk
Land values - the tax implications
Some feared that BREXIT and the phasing out of Basic Payment Scheme entitlements would result in a decrease in land values. So far this does not appear to have been the case. Indeed in some areas, particularly upland areas of more marginal, less productive land where the values have historically been lower, the land values now actually appear to be increasing. The reason for the increase being the strong demand for land for environmental motivations and for its natural capital. I have written in previous newsletters about natural capital and the tax impact of the change of use of land where it is taken out of agricultural use for environmental schemes. There continues to be a lack of clarity in the current tax legislation, although, the CLA continues to lobby hard for changes. Given increasing land values, landowners should also be mindful of the impact of value on their inheritance tax position. Agricultural property relief only applies to the agricultural value of property. It will not apply to hope, sporting, or amenity value, and now, natural capital value. Therefore, where land is worth more than agricultural value, it is important to ensure the uplift will be covered by business property relief (BPR). BPR is available where land is used for the purposes of a trade. Therefore, if the land is farmed in hand and the business is ‘mainly trading’ relief should be available. Relief is at 0-50% if the land is owned outside the business, or 100% if owned by the business. Where land is rented to a tenant to farm, BPR will only be available if it is rented by a trading business and again the business must be ‘mainly trading’. The amount of relief (0%, 50% or 100%) will depend on how the business and ownership of land is structured. It has always been necessary to continually review the structure of the business and, for a diversified business with trading and non-trading, or investment activities, the balance of trading activities compared to investment activities such as rentals and holiday letting. This balance becomes even more difficult to manage as we start to see the use of natural capital assets and environmental income streams, from carbon credits, biodiversity net gain and other income. Businesses should continue to ensure their business structure is fit for purpose and, for inheritance tax and capital gains tax purposes, the business qualifies as a trading one. In the meantime, we will continue to assist with the lobbying for change to the legislation and a widening of the definition of ‘agriculture’ to include environmental activities.
SAM KIRKHAM Farms & Estates Team sam.kirkham@albertgoodman.co.uk
THE FUTURE COULD BE BRIGHT - WITH PLANNING With inflation within agriculture being more than 20%, who wouldn’t be keen for:
a secure, strong, long-term income diversification away from agriculture helping with the UK energy crisis a valuable non-farming asset
This is the case for some battery storage opportunities together with solar if you can gain grid connection. Although there are several benefits to such opportunities, you need to be aware of the impact it can have on your taxes. Assuming the land was owned and used within your farming business then it may have qualified for both agricultural property relief (APR) and business property relief (BPR) for inheritance tax (IHT) purposes. It could therefore be passed on IHT free. The change of use may lose:
all IHT relief on the land in question BPR on the wider business leaving you with only APR covering the agricultural value some of the capital gains tax relief including business asset disposal relief - the effective 10% capital gains tax rate when business assets are sold
holdover relief which could have allowed you to pass on the land and defer the capital gain rollover relief whereby you can defer a capital gain by reinvesting in business property and, be subject to income tax at 40% to 45% To put it into context, the loss of IHT, just on the land used, can equate to 12 to 13 years of the income that is generated. However, please don’t despair! It is still a very good opportunity if you plan early. You need to consider:
who you want the income to go to what the income will be used for longer term where you would like the asset ownership to be It is likely that there will be many solutions that we can offer. These may include gifting the land away whilst it is still in agricultural use thereby deferring the capital gain and locking it into your estate at the value at the date of the gift. This value is likely to be considerably lower before planning permission is granted and the development has started. We could also consider the use of a limited company, which may enable you to pay tax under current rates at 19% rather than 40% to 45% together with providing a vehicle to pass wealth on. There are many possibilities, depending upon your circumstances, so please do get in touch if you have any questions.
KATE BELL Farms & Estates Team kate.bell@albertgoodman.co.uk
HOW CAN I GET MORE FROM XERO? With a growing need to diversify, many farms have found themselves venturing into new areas: farm shops, food production for direct selling and dog walking fields to name but a few. Many manage this through either keeping manual records or running separate systems to their accounting software. However, there are numerous add on packages that sync with Xero to reduce duplication and time. This technological innovation can also increase growth opportunities by providing timely, accurate data and forecasts which help plan for the future and deliver results. Not only are costs, budgets and margins tracked, but future peaks can also be planned for, such as key times like Christmas.
STOCK MANAGEMENT - apps track costs, provide real time inventory and help you clearly see margins for each product. They help forecast demand and assist with planning so that you can work around constraints such as labour availability. One popular stock management package is Unleashed which tracks from input purchase through to sale, provides visibility of stock levels and has automatic low stock alerts. Vend is also well used for inventory-based retail and point of sale. SALES - A good point of sale system is vital for retail. With the growth in online sales, there are also many ways to receive sales payments directly to Xero such as Stripe, Worldpay, Go Cardless and PayPal.
BOOKING SITE APPS - These are useful for the provision of services or accommodation. Sales invoices and payment data can be fed directly through to Xero. This is particularly useful with Making Tax Digital for VAT to ensure that all dates are accurately entered. STAFF SCHEDULING - For businesses such as farm shops, scheduling apps can not only help with staff
planning but also with reviewing efficiency of shift patterns and lengths to minimise costs.
HOW DO I FIND OUT MORE ABOUT ADD ON PACKAGES FOR XERO? To find a list of apps that officially partner with Xero, click on your business name at the top left-hand side of Xero and select ‘app store’ from the menu. From here you can search for specific apps or refine by category such as ‘inventory’. The apps are listed in the order of usage and ratings combined so that you can benefit from other users’ perspectives. The apps listed are those vetted and approved by Xero. There is a cost to this for the app providers so as a result, there are many unofficial apps on the market. This doesn’t mean they are not good or effective, but it does mean they have not been checked by Xero so if using an unofficial partner, it is wise to do thorough research prior to commencement. It is certainly a case of caveat emptor (buyer beware) and ensuring points are clarified, such as who would bear the cost if there were any issues with the app working with Xero. The key piece of advice in dealing with unofficial partners is to ensure that the set up is completed correctly and checked thoroughly at the start before significant amounts of data are fed into the system. If you would like any advice regarding add on packages for Xero, do contact us at xero@albertgoodman.co.uk
SARAH MILSOM Farms & Estates Team sarah.milson@albertgoodman.co.uk
Extension to the requirement to register a trust under the trust registration service New rules have been introduced to expand the scope of trusts which are required to register under the Trust Registration Service (TRS). The TRS is a register of the beneficial ownership of trusts and is managed by HMRC. It contains certain information about each trust and the people connected to the trust, including settlors, trustees and beneficiaries. Previously, trusts were only required to register with the TRS if they had a UK tax liability. This has now been extended to all UK trusts, unless they meet specific exemptions (listed below). All trusts in existence on 4 June 2022 are now required to be registered by 1 September 2022. Any trusts created after this date should be registered under TRS within 90 days of creation.
Which trusts need to register? All trusts with a UK tax liability, regardless of their residency. All UK trusts unless covered by one of the exclusions (listed below). Non-UK resident trusts that acquire UK land or property. Non-UK resident trusts that enter into a business relationship in the UK and have at least one UK resident trustee.
Trusts that do not need to register Certain trusts do not need to register under TRS, unless they are liable to UK tax. These include: UK-registered pension trusts. Life or retirement policies that pay out on death, terminal or critical illness or permanent disablement. Insurance policy benefits received after the death of the person assured where the benefits are paid out within 2 years of the death. Charitable trusts Will trusts that only hold the estate assets for a maximum of 2 years after the death. Trusts set up to hold shares of property as ‘tenants in common’. Those set up to hold jointly owned assets as ‘joint tenants’, or a joint bank account. Certain bare trusts for minors. Declarations of trust where the trustees and beneficiaries are the same people. Trusts set up under the intestacy laws where there is no valid will on death, and the assets are held within a trust before being distributed. Trusts for bereaved children or adults between the ages of 18-25, set up under the will of a deceased parent. Those set up under the Criminal Injuries Compensation Scheme. Trusts set up under a Court Order to hold compensation payments. Trusts created in the course of professional services for holding client money. ‘Pilot’ trusts which hold no more than £100 and were set up before 6 October 2020.
Bare Trusts A bare trust is the simplest form of trust and is used to hold an asset for a particular beneficiary. Bare trust beneficiaries are often used where beneficiaries are minors, until they reach an age where they are legally able to take ownership at 18. It is also common for bare trusts to be used in partnerships, where assets are held by partners in trust for the benefit of the partnership. This is particularly common in farming and agriculture but can affect many other sectors. All bare trusts should be registered under TRS, unless they meet any of the exemptions listed above.
Farming Partnerships Farming partnerships need to take action now to review land ownership in light of these changes. LLPs and companies can own land in their own right but partnerships cannot as they are not legal entities. This means that some or all of the partners often hold land as trustees for the partnership. The benefits of land being held as a partnership asset can be considerable, as partnership property can benefit from 100% Business Property Relief (BPR), as opposed to only 50% relief if land is owned by a partner who uses it in the business. BPR is particularly beneficial where the market value of the farmland, or farm buildings, exceeds its agricultural value. Where land is owned by trustees, the owners on the deeds or at land registry, who are the same people as the beneficiaries, there is no requirement to register on the TRS. However, in partnership situations, often the legal owners are different to the beneficial owners, in which case there is a requirement to register under TRS. For example:
Example 1 - John is in partnership with his wife Ann and their son and daughter Ed and Emma. John is the legal registered owner of the farm. They have a partnership agreement confirming John holds the farm on trust for the partnership. As the partnership consists of John, Ann, Ed and Emma the partnership beneficial owner is different to the legal owner so a TRS registration is required.
Example 2 - John is in partnership with his wife Ann and their son and daughter Ed and Emma. John is the legal registered owner of the farm. They do not have a partnership agreement or any other express deed confirming beneficial ownership is any different to John’s legal title. Therefore TRS is not required. However, this position may result in John not benefiting from 100% business property relief on his death.
Example 3 - John is in partnership with his wife Ann and their son and daughter Ed and Emma. John, Ann, Ed and Emma are the legal registered owners of the farm. They have a partnership agreement confirming they hold the farm on trust for the partnership. As the partnership consists of John, Ann, Ed and Emma the partnership beneficial owner is the same as the legal owner so a TRS registration is not required.
Example 4 - John is in partnership with his wife Ann and their son and daughter Ed and Emma, and Emma’s daughter Sarah. John, Ann, Ed and Emma are the legal registered owners of the farm. They have a partnership agreement confirming they hold the farm on trust for the partnership. Whilst the partnership consists of John, Ann, Ed Emma and Sarah, so the partnership beneficial owner is different to the legal owner TRS registration is not required. Where there are more than four partners who own the property, but only four are recorded as legal owners, there is no requirement to file under TRS. This is because legal ownership of land cannot legally be held by more than four people. It is important farm businesses and landowners consider the ownership of the property alongside their legal paperwork to ensure the ownership position is understood and reflected properly in all documentation, and then whether they need to register under TRS. This is an opportunity to consider the long term benefits of holding land in the partnership for both succession and tax purposes and ensuring the legal paperwork and partnership agreement, as well as the accounts, are up to date. This TRS registration process and due diligence may require administrative work and costs in the short term but will provide clarity when considering inheritance tax reliefs and succession plan in the long run.
How to register with the TRS For more details on how to register a trust under TRS and the information required, please get in touch.
KATE HARDY Farms & Estates Team kate.hardy@albertgoodman.co.uk
AVOID THE AUDIT STRESS, DON’T TAKE RISKS AND WORK WITH PEOPLE WHO CAN HELP Health and Safety Service - Cross Compliance - Farm Assurance. All part of the service. THE FARM CONSULTANCY GROUP – RURAL COMPLIANCE SERVICE The Rural compliance service is here to help all farms and agricultural business alike with all their compliance needs. These include health and safety, cross compliance, and assurance scheme assistance. We appreciate the issues with understanding and keeping up to date with all the regulations and what you are required to do to stay compliant on all three fronts. Having been in agriculture my whole life, I understand that most of us would prefer not to have to deal with even more paperwork. Let us help you and take the hassle out of ensuring compliance is kept up together, leaving you to look after your business. I have summarised below the main points for each service and how we can help.
HEALTH AND SAFETY SERVICE Did you know that health and safety now forms a part of Red Tractor Farm Assurance audits? Without a policy in place, you will have a non-conformance and only a short period of time to correct this. As well as forming part of Farm Assurance, you are required by law to have written policies, and risk assessments if you have 5 or more people involved within the business. A good health and safety record will also help with staff retention. Everyone wants to feel safe within their job. Having policies and procedures in place will help reassure staff and other visitors coming onto site. And if there ever was an incident, it would be reassuring to know that everything is up together and in place in case there was an investigation, or these documents were required for insurance purposes. We help collate all policies and paperwork including a health and safety policy, risk assessments, hazard maps for the farmyard and fields, handbooks for employees and contractors which show all the relevant information they will need. We offer practical ongoing support to ensure that all tasks are undertaken as safely as possible, taking into account the practicalities of the task and the farm. I am both IOSH and NEBOSH qualified, in addition to having grown up and worked on farms my whole life, so I also have practical experience and knowledge enabling me to advise on the best safety practices.
together as well as collating field records of organic manure applications and fertiliser applications to show farms are compliant with NMAX limits, whether your farm is within an NVZ or not. If you are a farming business claiming BPS, you are required to keep these records. If you were to be inspected, you could be at risk of a percentage deduction in your payment if you cannot provide evidence of these records.
ASSURANCE ASSISTANCE Assurance schemes tend to create a lot of hassle and stress when they are due. Let us take the hassle out of the process for you by assisting with making sure you have everything you need for the audit. As part of assisting with any assurance audits, we help with collating all documentation that would be required. This includes the health and safety and cross compliance documentation listed above. We also help put together emergency plans and contacts, employee training records, vermin control documentation, and environmental protection documents. We can help by either keeping your documents for you as they come in throughout the year, for example feed and bedding invoices, meaning you don’t have to spend your time searching through many files and folders for the documents you need. We will give you a checklist of documents to send us through the year, then when your audit is due, we will collate them all together into an easy-to-use file. Alternative we can assist you with a ‘pre audit’, making sure you have everything you need ready. With both options, we will also look round the farm to point out any potential nonconformances the auditor may find before the day of the audit. Every farm and farming business is different. Our service is personlised and specific to your business. There is no ‘one size fits all’ to any of these compliance issues. The Farm Consultancy Group Rural Compliance Service is competitively priced and billed, either on a monthly direct debit or a single set up fee plus ongoing support charged at an hourly rate. Clients can choose to take up either a single service, mixture of the services or combine all the services to suit their own needs. We are here to help you.
COMBINED CROSS COMPLIANCE SERVICE Cross Compliance requires you to have all the necessary documentation, such as manure management plans, soil risk maps, livestock calculations, N loading calculations, and slurry storage calculations. We offer help putting these all
MAT BEALE Farm Consultancy Group mathewbeale@scgagric.com
FARM DIVERSIFICATION - VAT CONSIDERATIONS INTRODUCTION
LAND AND PROPERTY
Traditionally, and generally speaking, the core activity of farming has been relatively straightforward from a VAT perspective.
Dealings in land and property are particularly complicated, as much income from property is VAT exempt, and unless sums are relatively small (“de minimis”) VAT cannot be recovered on expenses referable to generating income that is exempt from VAT.
The majority of sales have been of foodstuffs, generally qualifying as zero-rated. No VAT is due on the sale, but VAT on related expenses can be reclaimed by a VAT registered farmer. VAT on expenses is normally reclaimable to the extent that the expenditure relates to taxable supplies a business makes or intends to make. “Taxable” supplies include sales of zero-rated food, or standard-rated sales of say, wool, but not supplies that are exempt from VAT. Where a farm business receives VAT-exempt income it may not be able to reclaim all the VAT on its expenses. For VAT purposes a grant is not consideration for the supply of goods or services and is typically ignored. A “farm” where the only expected income is from agricultural grants - e.g. Countryside Stewardship - may have no right to reclaim any VAT as it is not making, nor intending to make, any taxable supplies. This is not the same as say an early-stage farming business that needs grants/donations/ loans to survive until it has a saleable crop some years later. (Forestry, or viticulture, perhaps.) Such a business can still register for VAT and recover VAT on the development costs on the basis it has a firm intention to make taxable supplies of timber/wine in the future. More generally, a farming business intending to use its land to generate new, diversified income will need to identify the nature and VAT treatment of the supplies it will make and the potential impact on VAT recovery. VAT is highly fact sensitive, and a slight change in the fact pattern can make a major difference to the VAT treatment as the example of the letting of an agricultural building in the next section demonstrates.
While the grant, assignment or surrender of an interest in, right over or licence to occupy land is normally exempt from VAT there are exceptions. A rent from letting a barn to a neighbouring farmer to use as a workshop is likely to be VAT exempt, but the owner can “Opt to Tax” some or all of its land or buildings. Having done so the owner is obliged to charge VAT on (subject to limited exceptions) any sale or letting of the Opted land for at least 20 years. But if the neighbour is using the barn to store his goods in, the owner should charge VAT, even if it has NOT opted to tax; unless the goods are livestock. As the VAT treatment will depend on the tenant’s use, any lease or license should require the tenant to notify the landlord if he starts using a facility for storage or permits someone else to do so. Other exceptions to exemption include bed and breakfast charges, holiday lettings, camping and car parking. Income from a grazing licence is typically seen as the provision of animal feed (i.e. grass) and as such can be zero-rated.
THE DEVIL IS IN THE DETAIL, THEN? Yes, but if we are asked to advise at an early stage, we may also have scope to influence the detail to secure the optimum VAT treatment. By way of example, we were recently asked to comment in relation to a proposed woodland planting agreement. The landowner had been approached by a large business that had a legal obligation to deliver a substantial area of tree planting.
The landowner did not appear to be granting an interest in the land to be planted, nor would the large business be entitled to fell and sell the timber. Instead, the landowner appeared to be agreeing to planting trees at the large business’ cost. The landowner would be able to sell the timber, but it appeared that it would have to accept the corporate’s instructions on species planted; planting density, etc. which might not have been its first choice if growing the most commercial crop was concerned.
In our view, 2 was preferable, in particular to secure input tax recovery on planting costs; and to minimise the scope for challenge by HMRC; provided that the large corporate would agree to pay an agreed sum plus VAT in addition.
CONCLUSION VAT is a tax on transactions. To understand the VAT implications of a major change to a farm’s operations it is important to identify the detail of how the transactions will work; and consider the optimum VAT treatment available on the facts.
This might perhaps be positioned, and the contract written to reflect:1. the payment of a grant to the landowner by the large corporate; or 2. the standard-rated supply by the landowner of accepting an obligation to plant trees only in accordance with the large corporate’s specifications.
STEVE CHAMBERLAIN VAT Senior Manager steve.chamberlain@albertgoodman.co.uk
FARM BUSINESS REVIEW
Over the last six months we have been involved in helping deliver the Agricultural and Horticultural Development Board (AHDB) Farm Business reviews, in conjunction with DEFRA as part of the Farm resilience fund to help businesses plan for life after the Basic Payment Scheme subsidies. This has been a very interesting exercise, visiting a variety of different farming businesses across the Southwest. The farmers will have benefitted from the time spent looking at their business and discussing what can be done to improve; whether this be financial efficiencies leading to increased profit or reducing the labour time taken to complete tasks and what these changes will look like for the business once the BPS has gone. There were numerous topics which were discussed during the visits, with every business having different objectives and challenges. Having an independent point of view made for lots of discussion around what the farmers were wanting to achieve and how they were going to change to achieve it. Understanding the issues being faced will help towards managing the success of the business now and after the loss of the Basic Payment Scheme income. This will ensure the best outcomes for all those involved. The managers of the businesses discussed how they can control most things, maybe not the weather, and ensure these parameters are monitored. Ultimately these improvements lead to a better business. Now that the DEFRA funded service has ended, farming businesses should still ensure that they are spending the time considering how their business will look in the future, continuing to understand their products and their markets, maximising their returns, in order to make sure that their business will thrive. Whilst there is no one size fits all approach to the future of farming businesses, we are confident that with our experience, passion and knowledge of farming, we can be there to help and, where necessary, guide you along the way.
JAMES BRYANT Farms & Estates Team james.bryant@albertgoodman.co.uk
XERO TOP TIPS – MILK SALES AND COMMISSION OR LEVIES With livestock, crop and milk sales there will usually be either commission and tolls or a levy, such as an AHDB levy, deducted from your total gross sales. This means that the amount you receive into your bank is slightly lower than the total sales you have made. To complicate things further, some suppliers, such as Arla, make their monthly payments for milk sales in two amounts. This is excellent for cashflow purposes but it does add an extra step to the reconciliation process. The following steps will enable you to record the total gross sales of milk (or corn or livestock) and show that there have been deductions too. (If you are not with Arla then skip steps 1 & 2c). 1. When you receive the prepayment remittance advice and the first payment into the bank, enter this as a sales invoice as you have been doing and code it up to ‘milk sales’. The description can just be the month it relates to and detail that it is a prepayment (eg June prepayment). 2. Then, when the final payment arrives into the bank and you have received the sales invoice, you need to create a new sales invoice with 3 lines: a. The total sales in that month per the invoice b. A negative line with the AHDB levy or commission c. A negative line including the prepayment amount detailed in Point 1. This should be coded to ‘milk sales’ In the below example we have total milk sales in June of £25,359.24 with the prepayment receipt of £12,189.57 and the AHDB levy at 0.060 pence per litre with a balancing receipt in the bank of £13,124.92.
From our point of view it is really useful to have the quantities recorded in the description as we produce pence per litre schedules for our dairy clients. Uploading a scan/ copy of the invoice is also gratefully received and is done by clicking the icon to the right of ‘Preview’ in the top right hand corner. Please note: as of 1st April 2022 any AHDB levy will now be Outside the Scope for VAT (this needs to be recorded as No VAT in Xero). Your milk, market or crop sales invoice should state if there is any input VAT on deductions and how much this is.
CHARLIE GREEN Farms & Estates Team charlie.green@albertgoodman.co.uk
THINK WE COULD HELP, PLEASE DO CONTACT ONE OF US SAM KIRKHAM
KATE BELL
sam.kirkham@albertgoodman.co.uk 01823 250350
kate.bell@albertgoodman.co.uk 01823 250286
IAIN MCVICAR
TOM STONE
iain.mcvicar@albertgoodman.co.uk 01823 250283
tom.stone@albertgoodman.co.uk 01823 250397
KATE HARDY
JAMES BRYANT
kate.hardy@albertgoodman.co.uk 01305 752064
james.bryant@albertgoodman.co.uk 01823 250372
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