asked the Minister for Finance the plans, if any, he has to collect the health levy due by farmers to the Exchequer; the total amount of such sums now due; and whether he proposes to legislate for the charging of interest on arrears of such levies.
Written Answers. - Health Contributions.
45.
Health contributions due from full-time farmers were collectable by the health boards for years prior to the year ended 5 April 1985. Contributions from full-time farmers for the year ended 5 April 1985 and subsequent years are collectable by the Revenue Commissioners as are contributions from part time farmers for all years.
I am informed by the Department of Health that a total of £6 million is still outstanding from the farming sector in relation to demands issued by health boards covering the period 1 October 1971 to 5 April 1984. The arrears now being collected by the health boards are allocated directly to the budgets of the health boards. Health boards are continuing to use the enforcement procedures available to them to collect outstanding amounts.
I am informed by the Revenue Commissioners that demands and reminders are issued to those who are charged with payment. The next step in collecting outstanding payments would be to have collection enforced either through the courts or the sheriffs. The arrears for the health contributions represent only a tiny fraction of the arrears which arise in the collection process under all tax heads. The resources devoted to the collection of any particular arrears must necessarily reflect the scale of those arrears in the context of all arrears of tax. Available resources have had to be deployed in the enforcement of much larger sums of tax outstanding. It has accordingly not proved practicable up until now because of overall limitations of staff resources to, at the same time, commence enforcement proceedings in the case of health contributions. The situation is being kept under review.
The total amount now outstanding from farmers and collectable by the Revenue Commissioners is £9.7 million. This figure is no more than an estimate and on the basis of previous experience the amount will be subject to downward revision on closer examination, on appeal, and for various other reasons, and the figure will change accordingly. The actual amount which is likely to be collected out of the £9.7 million is £2 million.
It would be of no avail to introduce interest charges while the situation remains that enforcement of the tax is not immediately practicable. However, the introduction of such a change is something I will bear in mind.