Growth Area Infrastructure Contribution

Many small-scale farmers are under threat from the State Government's proposed Growth Area Infrastructure Contribution, which would see a $95,000 per hectare tax imposed on property owners looking to sell their land within the Melbourne Urban Growth Zone.

In our recent submission to Victoria's Growth Areas Authority the VFF confirmed farmers' total objection to a Growth Areas Tax, which fails the fairness test when it comes to the principle of benefit.



Tax Offsets for Small Farms

The VFF recently lodged a submission with the Federal Treasury opposing taxation changes that stemmed from the 2009/10 Federal Budget that will affect tax offsets for small farmers who earn off-farm income.

The changes will prevent small farmers from offsetting their income against farm losses if their income is greater than $250,000 per annum. These short sighted changes foster potentially serious implications for regional development across Australia if accepted.

Small farmers play a vital role in regional economies. These changes will cut regional investment, threaten land stewardship activities and drive at the heart of the economic health of hundreds of Australian towns and regional communities.

Small farmers often incur losses due to land improvement activities. We can expect land care initiatives such as erosion control and tree planting to be slashed. Small farmers also play an important part in supporting regional businesses and local employment. This is also at risk.