Ireland CGT Farm Restructuring Relief Extended to 2029

On 4 August 2026 Revenue published eBrief No. 117/26 on Capital Gains Tax (CGT) Farm Restructuring Relief. Tax and Duty Manual Part 19-07-03b now reflects amendments to section 604B of the Taxes Consolidation Act 1997 made by section 52 of Finance Act 2025.

Two changes matter for farmers and advisers: the relevant period in which the initial restructuring transaction must be completed is extended from 31 December 2025 to 31 December 2029, and from 1 January 2026 the definition of agricultural land includes commercial woodland and non-commercial woodland used for sustainability and biodiversity purposes.

Section 604B relief applies where you sell and purchase, or exchange, farmland to improve farm efficiency — typically by bringing holdings closer together. Revenue’s public guidance confirms full CGT relief where the purchase price equals or exceeds the sale price, and proportional relief where less of the sale proceeds are reinvested.

The first sale or purchase must fall within the relevant period (now through 31 December 2029). The linked sale or purchase must complete within 24 months of that first transaction. You need a Farm Restructuring Certificate from Teagasc confirming the transactions were for farm restructuring purposes, and you claim the relief on your CGT computation using Revenue’s claim form when you file.

Clawback can apply if land acquired under the relief is disposed of within five years of purchase or exchange. Always read the current Tax and Duty Manual and Teagasc certificate conditions before relying on relief — eBriefs summarise updates; they do not replace the manual or transaction-specific advice.

Extending agricultural land to commercial woodland and to non-commercial woodland used for sustainability and biodiversity widens the parcel types that can sit inside a certified restructuring. That matters where a farmer consolidates mixed farming and forestry holdings, or brings conservation woodland into a more efficient land map.

It does not turn every tree-lined boundary into automatic relief. Title, Teagasc certification, the 24-month pairing rule, and the CGT computation still control the claim. Keep acquisition costs, enhancement expenditure, sale contracts, and the Farm Restructuring Certificate with the CGT file.

If you are also dealing with stamp duty farm consolidation under section 81C SDCA 1999, treat CGT and stamp duty as linked but separate regimes — certificates and qualifying land definitions may overlap in practice, but each relief has its own statutory conditions and filing path.

Diary the new 31 December 2029 outer date for the initial restructuring step, and plan the matching purchase or sale inside 24 months. Engage Teagasc early enough that the Farm Restructuring Certificate is available before you finalise CGT computations.

Map whether any parcels are commercial woodland or biodiversity/sustainability woodland that now sit inside the agricultural land definition from 1 January 2026. Update internal checklists that still quote the old 31 December 2025 cut-off.

Separate August compliance work from CGT restructuring: PAYE/PRSI/USC and VAT dates on Revenue’s August calendar still apply to farming businesses that employ staff or are VAT-registered.

Clear sale, purchase, and cost schedules make Farm Restructuring Relief claims easier for your adviser to review against Revenue manuals. FinnAccountings helps Ireland and UK businesses organise bookkeeping and tax prep drafts with Chartered Accountant insight before you or your Chartered Accountant (Ireland) or ICAEW/ACCA adviser reviews filings. Start a free trial for review-ready packs — we prepare drafts; we do not file CGT returns or claim forms with Revenue on your behalf.

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See our Ireland CGT interpretation of land briefing and the August 2026 SME tax deadlines checklist. Use the free tax calculator for high-level income-tax planning only — not for CGT computations.

Ireland CGT interpretation of land →