Vol. 566 No. 1
227 Mr. Howlin asked the Minister for Finance if tax concessions which are available to creative artists such as writers, can be extended to performing artists such as actors; and if he will make a statement on the matter. [11426/03]
Income earned by artists, writers, composers and sculptors from the sale of their work is exempt from tax in Ireland in certain circumstances. The exemption is only available to individuals who are resident here for tax purposes.
Section 195 of the Taxes Consolidation Act 1997, formerly section 2 of the 1969 Finance Act, allows the Revenue Commissioners to make a determination, under guidelines drawn up by the Minister for Arts, Sport and Tourism, and the Arts Council, with the consent of the Minister for Finance, that certain works are original and creative, and generally recognised as having cultural or artistic merit. Earnings derived from such works are exempt from income tax.
Under the terms of section 195, the Revenue Commissioners can make determinations in respect of works in the following categories: (a) a book or other writing; (b) a play; (c) a musical composition; (d) a painting or other like picture; and (e) a sculpture.
Performing artists, such as actors, are not listed as a specified category within section 195 of the Taxes Consolidation Act 1997 and therefore, the artists exemption is not currently available to them. I have no plans at present to include performing artists in the artists exemption scheme.
Question No. 228 answered with Question No. 224.
229 Dr. Upton asked the Minister for Finance if the Revenue Commissioners will review a matter (details supplied). [11428/03]
I am advised by the Revenue Commissioners that the position in cases of this type is that unmarried co-habiting couples are treated in the legislation for capital acquisitions tax purposes as coming under the Group C threshold. It follows that when a person receives a gift or inheritance from a co-habiting partner that person is entitled to the Group C threshold amount which currently stands at €22,060. This treatment is consistent with the general law which does not regard couples, who are in a permanent relationship but who decide not to marry or cannot do so for legal reasons, as "man and wife".
Where an inheritance comprises a dwelling house, or a share in a dwelling house, section 86 of the Capital Acquisitions Tax Consolidation Act 2003 provides an exemption from CAT, subject to certain conditions being satisfied, where the house is inherited from a co-habiting partner. However, this exemption only applies where an inheritance is taken on or after 1 December 1999, which is some three years after the date of the inheritance in the case in question and consequently the exemption does not apply here.
I am further advised by the Revenue Commissoners that correspondence was exchanged during May 2002 with the solicitor acting in the case and that the outstanding tax remains due. If there is a difficulty in paying this tax there is a statutory instalment scheme which may be availed of. The CAT code also allows for postponement of payment in certain circumstances where there would otherwise be excessive hardship. In this regard, Revenue states it is prepared to review this case and its capital taxes division should be contacted in order to try to achieve a settlement in the matter.
Question No. 230 answered with Question No. 224.
