asked the Minister for Finance in respect of each of the last four years the number of transactions affecting the purchase of property in which stamp duty at the rate of twenty-five per cent. was paid.
Ceisteanna—Questions. Oral Answers. - Property Stamp Duty.
6.
Mr. Ryan
In each of the last four financial years the number of transactions affecting the purchase of property in which stamp duty at the rate of twenty-five per cent. was paid were as follows:
|
Year ended 31st March, 1957 |
31 |
|
,, ,, ,, ,,1958 |
11 |
|
,, ,, ,, ,,1959 |
7 |
|
,, ,, ,, ,,1960 |
9 |
Has the Minister's attention been directed to the general atmosphere of public malaise associated with allegations that there is widespread purchase of land by non-nationals and would he consider taking some measures to clarify the situation so that unnecessary ill feeling might not be aroused which would interfere with legitimate and desirable capital investment in this country, if it were suggested that that involved the acquisition of land by non-nationals as distinct from industrial undertakings?
I think that the publication of these figures should allay a lot of the anxiety.
Has the Minister's attention been directed to allegations that there have been extensive purchases of land by non-nationals along the west and south west coast? If he has heard these allegations, would he consider issuing some kind of statement to clarify the position and remove doubts where people are genuinely uneasy?
I should mention, perhaps, that the 25 per cent. applies only to agricultural land, as it were. Property where there are not more than five acres attached is not subject to this tax since 1926. Land which is purchased for the purpose of starting a factory is exempt also.
Has the Minister's attention been directed to the allegation that there have been extensive purchases of land——
I have heard that.
——with a peculiar common feature? They are all on the coast line of the west and south west. Does he not think that perhaps the time has been reached when some measures to clarify this situation should be taken?
Yes.
Mr. Ryan
Would it not be fair to say that rather than that the figures quoted by him show that there are fewer foreigners buying land, what they really show is that they are evading paying the stamp duty by buying through pre-1947 companies?
I have no way whatever of finding that out.
7.
Mr. Ryan
asked the Minister for Finance if, in view of the increasing number of foreigners who in buying land are avoiding payment of twenty-five per cent. stamp duty by purchasing such land in the name of pre-1947 limited companies purchased by them, he will take steps to stop such stamp duty evasion.
The question of the stamp duty on conveyances and transfers of property to non-nationals is under constant review. The matter, however, is one for consideration in connection with the Budget; and the Deputy will appreciate that I cannot indicate in advance at any stage what proposals my Budget Statement may or may not contain.
Mr. Ryan
In view of the fact that there is a strong possibility, and even a probability, that even between now and the next Finance Act, there will be an evasion of the 25 per cent. stamp duty by foreigners, will he not consider the matter as urgent and bring in the necessary legislation at once?
This is a very difficult and complex problem. It has been considered over and over again.
Might I inquire from the Minister if he knows that there is a fundamental distinction between the investment of foreign capital in industrial projects and the purchase by non-nationals of land in this country? The first is calculated to bring great goodwill and benefit but the purchase of land will only lead to endless unrest and difficulty. Would the Minister not consider making it known by some means to non-nationals that while their industrial presence is welcome, the purchase of extensive tracts of land in this country by them is calculated to cause misunderstanding?
Yes.