Depreciation of phosphate rights: not for the time being

Phosphate rights will not be depreciable for the time being. This is announced by the Ministry of Finance. The argument for this is the lack of an end date. That is why poultry and pig rights for 2017 will no longer be depreciable.

The ministry has announced that it does not agree with depreciation on the investment in phosphate rights, says Alies Visscher of Countus. "About phosphate rights it is stated that these are not included in the National Agricultural Standards 2017, because the rights will only be granted in 2018 and therefore do not yet exist. Since no (probable) end date has been set for phosphate rights, the ministry does not agree with depreciation on phosphate rights."

End date the problem
Countus: "The position is also taken that pig and poultry rights may not be written off, as long as a new (probable) end date has not yet been set."

Visscher reports that inquiries with the Ministry of Agriculture, Nature and Food Quality (LNV) show that a new (probable) end date has not yet been determined. "It is possible that the Ministry of LNV will come up with a decision at a later date, which will make depreciation possible. If that is the case, the agricultural standards will of course be adjusted on that point."

What now? 
Visscher: "What we can do now is submit a declaration in which a different position is taken. An appeal and/or objection can then be submitted." Countus is still considering the possible next steps.

ABAB is of the opinion that this is a temporary arrangement, which means that phosphate rights can be depreciated. If there is no clarity about the write-off in 2018, only a course of action will remain.

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