Selling Carbon: Benefits to Landowners

New woodlands which meet the standards set out in the Woodland Carbon Code could provide an alternative to agricultural income, with sales of carbon units either giving:  

Depending upon how the woodland is managed, there's also the potential of future income from timber products from saw logs to wood fuel. Recent research assesses the investment returns from timber and carbon in woodland creation projects (2017).

Tax-Free Income: Income from commercial forestry is not subject to Income or Corporation Tax. The sale of voluntary carbon credits is outside the scope of VAT.  However, you should always seek professional independent advice on your specific circumstances before making any long-term investment decisions.

Credibility and reassurance: Having your project independently validated and verified to the Woodland Carbon Code adds credibility to your project and provides companies wishing to buy carbon units with reassurance about the amount of carbon sequestered in your project. The Woodland Carbon Code is endorsed by ICROA providing greater market trust in the product you are selling.

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