Government Assistance - Drought Fact Sheet April 2008 -

drought 2008
FACTSHEET
April 2008

DROUGHT RELIEF
This factsheet describes the range of government assistance available to farmers and farm workers affected by drought.
Ministry of Agriculture and Forestry
The Ministry of Agriculture and Forestry (MAF) co-ordinates the Government's response to drought. MAF is monitoring conditions throughout New Zealand on a weekly basis and is working closely with the government agencies and other organisations providing support to farmers affected by drought. MAF chairs the National Drought Committee, which co-ordinates the activities of all industry, community and government organisations involved in drought preparedness, response and recovery initiatives in drought affected regions.
For further information download a copy of our drought brochure from our website,
www.maf.govt.nz, or contact your local Rural Support Trust representative:
Waikato/Hauraki/ Coromandel
Neil Bateup
0800 787 254
bateupn@xtra.co.nz
Bay of Plenty
Nigel Billings
07 578 5520
nbillings@fedfarm.org.nz
Gisborne
David Scott
06 868 4840
treescapefarm@xtra.co.nz
Hawkes Bay
Hugh McPhail
Mike Adye
06 858 4361
Mike@hbrc.govt.nz
Manawatu/Rangitikei
Tararua District
Margaret Millard
Chris Southgate
06 329 6860
millard@manawatu.gen.nz
06 374 9862
cwsouthgate@xtra.co.nz
Taranaki
Neville Hagenson
Peter Adamski
025 273 7588
n.c.hagenson@xtra.co.nz
06 751 4217
p.k.adamski@xtra.co.nz
Wairarapa
Bruce Watkins
06 378 6895
hmebw@xtra.co.nz
Marlborough/Nelson/ Tasman
Colin Gibbs
03 541 8435
gibbs@ts.co.nz
Nth Canterbury
Mid Canterbury
Sth Canterbury
Dorothy Oakley
Alan Baird
David Hewson
David Williams
03 318 1742
spudfarm@clear.net.nz
Allan.baird@xtra.co.nz
03 612 6367
hewson@farmside.co.nz
027 297 4454
williams_tepuni@slingshot.co.nz
Otago
Irene Scurr
Bev McCaw
03 454 6198
scurbiko@xtra.co.nz
03 434 0459
beverleymccaw@slingshot.co.nz
Southland
Russell Falconer
027 431 8173
Russell.f@sld.quik.co.nz
Animal Welfare
Under the Animal Welfare Act 1999, the responsibility for ensuring the health and welfare of animals rests with the owner or the person in charge. Farmers are urged to make timely decisions to avoid problems and to seek advice to ensure they meet the welfare needs of their stock. Advice is available from Federated Farmers, vets, stock and feed agents and farm advisers.
To report on animal welfare issue or make a complaint call 0800 327 027, all calls will be treated in confidence.
Animal Welfare helpline: 0800 327 027
Inland Revenue
Tax relief and income assistance is available for farmers affected by the drought. Inland Revenue has a range of measures to help, depending on your personal circumstances. If you are concerned about tax payments, changes in income, refunds or filing dates, contact your tax agent or Inland Revenue’s emergency helpline 0800 473 566.
Tax assistance could include late deposits or early withdrawals from the income equalisation scheme, late re-estimates of provisional tax, extensions of time for filing, instalment arrangements, and remission of penalties. We’ll also review any Working for Families Tax Credits to check you’re getting the right amount at the right time, if your income has changed.
Talk to Inland Revenue about:
• The Income Equalisation Scheme Farmers who have money deposited in this scheme or the Adverse Event scheme may be able to make an early withdrawal, or deposit funds from forced sale of livestock.
• Late election of provisional tax estimates or refunds You may be able to send a late estimate or re-estimate of provisional tax, if your circumstances have changed due to the drought. We could also arrange early refunds if provisional tax has been overpaid.
• Tax outstanding Inland Revenue will consider instalment arrangements for outstanding tax in some circumstances.
• Late filing and late payment Extensions for some income tax returns may be available. Extensions can’t be granted for GST and PAYE returns, but any penalties for late filing may be remitted. Penalties charged for late payments caused by the effects of the drought may also be remitted.
• Working for Families Tax Credits If your income has reduced or changed, we will make sure you now receive the correct entitlement, and you may be able to change the frequency/date of your payments.
• Child Support If you will have trouble making payments by due dates, please contact us on 0800 221 221 to discuss the situation.
Other tax provisions could also help:
• Deductions for losses on farm when certain improvements are destroyed or irreparably damaged
• Livestock or materials donated because of an adverse event may be treated zero-value
• Payments or donations from charities are not taxable or liable for GST
• Tax treatment of insurance payments depends on what the payments are compensating for – eg insurance for loss of capital assets is non-taxable, but income-replacement insurance may be taxed
• If you need to borrow money to keep your farm going, the interest may be deductible.
Inland Revenue’s Emergency Helplines are open Monday to Friday 8am-8pm, Saturday 9am-1pm.
Inland Revenue emergency helpline: 0800 473 566
Inland Revenue child support line: 0800 221 221
Ministry of Social Development – Work and Income
The Ministry, through Work and Income, can provide a range of financial assistance to both farming and non-farming families whose incomes have been affected by drought. This financial assistance can include:
• Unemployment Benefit The Unemployment Benefit provides income support for people who are looking for work or training for work.
• Emergency Benefit The Emergency Benefit is an income and asset tested benefit payable to people who are in hardship and who are unable to earn enough income for themselves (or any dependent family) and cannot receive another benefit.
• Special Needs Grants Special Needs Grants provide non-taxable, one-off recoverable or non-recoverable financial assistance to people to meet immediate needs. A person does not have to be receiving a benefit to qualify for a Special Needs Grant.
• Recoverable Assistance Payments The Recoverable Assistance Programme provides non-taxable, interest free, financial assistance to non-beneficiaries to meet essential immediate needs for specific items or services. This assistance is recoverable (eg will need to be paid back at a later stage). The person must be able to identify a particular immediate need for an essential item or service.
In addition to the range of financial assistance available, we can assist farmers and their partners to find off-farm employment as well as access to personal support services such as stress counselling. We can also provide financial and job search assistance to workers in allied industries who are unable to work because of the drought (eg shearers).
Rural Assistance Payments
Farmers may be eligible to receive Rural Assistance Payments. They are applicable to farmers who are in financial hardship and who have made a decision to sell their property or who are actively evaluating the ongoing viability of continuing in the industry.
Farmers must also meet additional criteria that apply to these payments, including an income test, personal (non-farm assets) and cash asset test.
These payments are currently available to drought affected farmers in the territories of the following local authorities:
North Island
• Carterton District
• Central Hawkes Bay District
• Gisborne District
• Hastings District
• Hauraki District Council
• Horowhenua District Council
• Kapiti Coast District Council
• Kawerau District Council
• Manawatu District Council
• Masterton District
• Matamata-Piako District Council
• Napier City
• New Plymouth District Council
• Opotiki District Council
• Otorohanga District Council
• Rangitikei District Council
• Rotorua District Council
• South Taranaki District Council
• South Waikato District Council
• South Wairarapa District
• Stratford District Council
• Tararua District
• Taupo District Council
• Thames-Coromandel District Council
• Waikato District Council
• Waipai District Council
• Wairoa District
• Waitomo District Council
• Wanganui District Council
• Western Bay of Plenty District Council
• Whakatane District Council
South Island
• Ashburton District Council
• Central Otago District Council
• Chatham Islands Council
• Clutha District Council
• Gore District Council
• Hurunui District Council
• Kaikoura District Council
• Mackenzie District Council
• Marlborough District Council
• Queenstown Lakes District Council
• Selwyn District Council
• Southland District Council
• Tasman District Council
• Timaru District Council
• Waimakariri District Council
• Waimate District Council
• Waitaki District Council
Work and Income also has mobile case managers who can attend shed meetings and make home visits where required.
Call the Government Helpline 0800 779 997 to find out how the Ministry can help.
Government Helpline: 0800 779 997

Stress counselling
Local qualified and experienced counsellors are available to talk to people affected by the drought.
These services are free and are administered through Victim Support, who has a list of counsellors available in your area. Please call them on 0800 842 846 or contact your nearest police station to speak to your local Victim Support representative, or contact your local Rural Support Trust.
Victim Support: 0800 842 846