Dáil Éireann debate -
Tuesday, 20 Feb 1996

Vol. 461 No. 7

Written Answers. - Tax Deduction for Students.

Róisín Shortall

Question:

115 Ms Shortall asked the Minister for Finance the estimated cost of allowing a tax deduction at the standard rate, against their income, for undergraduate night students; and if he will make a statement on the matter. [3658/96]

Minister for Finance (Mr. Quinn)

It is assumed that the Deputy is referring to part-time degree programme courses. The estimated cost of allowing a tax relief at the standard rate in respect of fees for such courses is estimated to be over £2 million based on approximately £8 million paid in fees.

As Deputies are aware, fees for full-time undergraduate courses at public colleges are being phased out. In addition, provision has been made for tax relief from the academic year 1996/97 in respect of fees paid to approved private colleges in respect of approved full-time undergraduate courses.

A further income tax concession of the sort proposed would not only involve a substantial cost to the Exchequer but would, inevitably, be bound to generate many similar claims from other taxpayers for tax relief on a variety of personal expenditure. The consequential loss to the Exchequer would mean that considerable revenue would have to be found elsewhere to maintain services.