Joe Higgins
Question:232 Mr. Higgins (Dublin West) asked the Minister for Finance the cost to the Exchequer of the tax free status of stud farms in each of the years from 1990 to 2000 inclusive. [25412/00]
Written Answers. - Tax Reliefs.
The general position is that section 231 of the Taxes Consolidation Act, 1997, exempts from income tax the profits or gains arising to the owner or part-owner of a stallion from the sale of services of mares by the stallion where the stallion is ordinarily kept on the land in the State and where the services of the mares takes place in the State. The exemption also applies where a bloodstock breeder trading in the State acquires a share in a foreign stallion in order that mares owned by the breeder may be serviced by the stallion. In this case, the exemption applies to tax on any profits or gains from the sale of any nominations from the breeder's share in the stallion. Taxpayers are not required to include income arising from tax exempt stallion fees in their tax returns. I am informed by the Revenue Commissioners that there is, therefore, no basis on which to provide an estimate of the cost to the Exchequer of the tax exemption.
Nora Owen
Question:233 Mrs. Owen asked the Minister for Finance the reasons for the exclusion of primary teaching fees from income tax relief; the proposals he has to allow income tax relief in respect of fees paid in view of the shortage of these teachers; and if he will make a statement on the matter. [25413/00]
As the Deputy will be aware, a number of years ago, free fees were introduced for full-time undergraduate students in publicly funded colleges in the State. The 1995 Finance Act, introduced tax relief at the standard rate for the tuition fees of full time undergraduate students attending private third level colleges in the State, provided the course is of at least two years duration. As free fees are available, tax relief is not available for any full time courses in publicly funded colleges and this includes teacher training courses in publicly funded colleges.
In the 1999 Finance Act, I introduced tax relief for the fees paid by full-time undergraduate students in publicly funded colleges in other EU member states. However the relief does not apply to courses in medicine, dentistry, veterinary medicine or teacher training. This restriction reflects the provisions in the higher education grant scheme which also does not provide student support grants for these subjects.
The Finance Act 2000, provides tax relief at the standard rate for postgraduate fees paid in publicly funded colleges here and in the EU as well as private colleges in this country. The relief is available for full-time and part-time postgraduate courses. My colleague, the Minister for Education and Science, Dr. Woods, must approve the courses for this relief and I understand that he is considering the question of relief for postgraduate primary teacher training courses.