I am advised by the Revenue Commissioners that under existing legislation income tax is charged under Schedule D of the Taxes Consolidation Act 1997 in respect of a number of sources of income, which are classified into five separate Cases. Under this provision, rent received by landlords (individuals and companies) from property in the State is chargeable to tax under Case V, while income from trading activity in the State is chargeable under Case I. To make the change suggested by the Deputy, that is to treat the generation of rental income as a trading business, would require a legislative change to effectively reclassify rental income as trading income for tax purposes. A major consequence of such a move would be the removal of the current ring-fence on rental losses which restricts the set-off of such losses solely to rental profits of future years. Allowing such losses to be set side-ways against other income of landlords would reduce overall tax receipts.