BNG tax guidance for farmers and land developers

Farmers and landowners have been given long-awaited clarity over how Biodiversity Net Gain payments will be taxed.HMRC has published guidance confirming its approach to payments from BNG, nutrient neutrality schemes, the Woodland Carbon Code and the Peatland Code.The move is expected to give greater certainty to farmers, estates and rural businesses considering environmental land use agreements.Under the guidance, most BNG payments will be treated as trading income for tax purposes.That means H