Dáil Éireann debate -
Tuesday, 14 Mar 1995

Vol. 450 No. 6

Written Answers. - Profit-Sharing Schemes.

Derek McDowell

Question:

59 Mr. D. McDowell asked the Minister for Finance the number of profit-sharing schemes which have been approved for tax relief purposes; the number of employees participating in such schemes; the sectors in which they are employed; if he has satisfied himself with the operation of such schemes; and if he is considering changes in the eligibility criteria for the future. [5359/95]

Minister for Finance (Mr. Quinn)

I am informed by the Revenue Commissioners that they have approved 142 profit-sharing schemes involving about 120 companies since the introduction of profit-sharing relief in 1982 to date.

On the basis of returns by companies for the tax years up to 5th April, 1993 — by which date 130 schemes had been approved — the Commissioners estimate that a total of close on 63,000 employees have received share allocations under profit-sharing schemes, some in a number of tax years. Statistics are not available which would enable them to provide a sector breakdown of this number.

In my budget speech I announced that the existing annual limit on relief for approved profit-sharing schemes will be increased from £2,000 to £10,000.

I have no plans to change the eligibility criteria governing these schemes.