Brendan Griffin
Question:155 Deputy Brendan Griffin asked the Minister for Finance his views on a matter regarding tax relief (details supplied); and if he will make a statement on the matter. [18275/12]
View answerWednesday, 18 April 2012
Questions (170, 171)
Written answers
The position is as I stated in my Budget day speech, that the new measure fulfils the Government's commitment contained in its Programme for Government to increase the rate of Mortgage Interest Relief to 30 per cent for first-time buyers who took out their first mortgage in the period 2004 to 2008. This was the period during which house prices peaked. I have sought to be as flexible as possible within the constraints pertaining. Under the current tax legislation Mortgage Interest Relief is granted from the date the first mortgage interest payment is made. The legislation has been amended for this particular measure to also include mortgage draw-down as a qualifying event for the rate increase. This means that a mortgage holder will qualify for the increased rate if they made their first mortgage interest payment in the period 2004 to 2008 or if they drew down their mortgage in that period.
Unfortunately, based on the information provided, the person in question does not qualify for the increased rate of relief. However, he should still continue to qualify for the current rates of relief for first-time buyers. It should be noted that Mortgage Interest Relief is set to be abolished at the end of 2017.
As with all time limited reliefs, there will always be people who just miss out, and that is why I have been as flexible as possible with the legislation. However, I do not intend to extend the parameters of the measure any further as it would become less targeted and more costly.
Finian McGrath
Question:156 Deputy Finian McGrath asked the Minister for Finance the position regarding taxation in respect of a person (details supplied) in Dublin 5. [18277/12]
View answerI am informed by the Revenue Commissioners that, following clarification, the course concerned, a Higher Diploma in Science and Computing, is a post graduate course and qualifies for relief under section 473A Taxes Consolidation Act 1997. I am further informed by the Revenue Commissioners that relief for the fees paid has now been granted to the person concerned.