Under the Commodity Levies Act 1990, FAR is able to audit farmers and companies responsible for paying or forwarding the FAR levy for compliance purposes. FAR has conducted an audit in most years. However this year, the audit, being undertaken by Deloitte, will have more of a focus on farmer to farmer transactions, but will also address company transactions. As a reminder the levy is to be paid on:
- All farmer to farmer transactions. These include sales to dairy farmers, deer farmers etc. Paid by the farmer for all arable crops except maize.
- All on farm use such as feeding livestock in another part of the business. Paid by the farmer for all arable crops except maize.
- All first point of sale to wholesalers (mills, seed merchants etc). Forwarded by the company for all arable crops except maize.
- All sale of maize seed to farmers. Forwarded by the company making the seed sale.