Denis Naughten
Question:183 Mr. Naughten asked the Minister for Finance the cost in today's terms of the student covenant scheme; and if he will make a statement on the matter. [18197/02]
Adjournment Debate. - Tax Reliefs.
I assume the Deputy is referring to the former scheme for tax relief on covenants in favour of persons in third level education.
I am informed by the Revenue Commissioners that statistics are not available on this former scheme which would enable the precise information required by the Deputy to be given. However, on the basis of a sample survey of covenants carried out in 1994, it was estimated that the cost to the Exchequer of tax relief on covenants to persons in third level education would have been €31 million in 1995/96 but for its abolition announced in the 1995 budget in conjunction with the abolition of third level fees. If this cost is increased by reference to the growth in the consumer price index between 1995 and September 2002, it would be of the order of €39 million in 2002.