Written Answers Nos. 97-105
97. Deputy Pearse Doherty asked the Minister for Finance if he will examine extending the entitlement to reclaim VAT and VRT on car conversions for disabled persons with primary medical certificates to cars with engines sizes over 2.0l /2000 cc to allow persons who require larger wheelchairs to benefit. [9141/13]
View answerI am informed by the Revenue Commissioners that Section 134(3) of the Finance Act 1992 (as amended) and Statutory Instrument No. 353 of 1994 (Disabled Drivers and Disabled Passengers (Tax Concessions) Regulations, 1994) (as amended) provide for permanent relief from the payment of specified maximum amounts of VAT and VRT for persons registered under the scheme.
The legislation specifies that, where a person satisfies the Revenue Commissioners that s/he is a Disabled Driver who complies with all the conditions of the Disabled Drivers Scheme, that person shall be entitled to relief in respect of a vehicle with an engine capacity of up to but not greater than 2,000 c.c.
The legislation does not provide for any exceptions and the provisions of SI 353/1994 must be fully adhered to. Reliefs will continue to be available to those properly qualified to receive them in accordance with those regulations. I have no plans to amend the regulations at the moment.
98. Deputy Peter Mathews asked the Minister for Finance if persons in the Health Service Executive fair deal scheme could be exempt from the property tax in view of the fact that they are already paying 5% of the value of their home to the State; and if he will make a statement on the matter. [9156/13]
View answerWhile no specific exemption from local property tax for individuals in the Health Service Executive Fair Deal Scheme is provided in either the Finance (Local Property Tax) Act 2012 or the Finance (Local Property Tax) (Amendment) Bill 2013, which I published last week, the legislation does provide for a number of exemptions from the Local Property Tax (LPT) as well as for the possibility of deferring the charge in certain cases of inability to pay.
I am informed by the Revenue Commissioners that the provision which seems to be most relevant to the Deputy’s question is Section 5 of the Act, under which an exemption may be obtained where a property that was previously occupied by a person as his or her sole or main residence has been vacated by the person for 12 months or more due to long term mental or physical infirmity. An exemption may also apply where the period is less than 12 months, if a doctor is satisfied that the person is unlikely at any stage to return to the property. In both cases, the exemption applies only where the property is not occupied by any other person.
Full details of the all the existing exemptions and options for deferral are available on Revenue’s website www.revenue.ie, where the Commissioners have recently published a useful Guide to Local Property Tax. This will be revised shortly to take account of the provisions of the Finance (Local Property Tax) (Amendment) Bill 2013.
100. Deputy Terence Flanagan asked the Minister for Finance if he will set out the new cash flow projections for the remaining lifetime of the National Asset Management Agency as a result of the liquidations of Irish Bank Resolution Corporation; and if he will make a statement on the matter. [9178/13]
View answerI am advised by NAMA that as it will not have visibility on the portfolio to be acquired until late August, following the completion of a loans valuation and sales process by the Special Liquidators, it is not possible at this stage to assess the possible impact of the acquisition of the unsold element of the IBRC loans portfolio on cash flow projections for NAMA.
103. Deputy Willie Penrose asked the Minister for Finance if he will outline in detail the categories of exemption from the property tax as recently set out in the Finance Bill 2013; and if he will make a statement on the matter. [9219/13]
View answerThe Finance (Local Property Tax) (Amendment) Bill 2013 provides for additional exemptions from the charge to Local Property Tax (LPT). It should be noted that the following information on the proposed exemptions is subject to enactment of the Bill.
Residential properties owned by a charity and used solely as residential accommodation in the course of facilitating recreational activities connected with its charitable purpose will be exempt from LPT. An example would be a residential property that is used to accommodate girl guides or boy scouts who take part in guiding and scouting activities. The charity must have been granted an exemption for tax purposes by Revenue to avail of the exemption.
An exemption will also apply to a residential property purchased, built or adapted to make it suitable for occupation by a permanently and totally incapacitated individual as their sole or main residence, where an award has been made by the Personal Injuries Assessment Board or a court or where a trust has been established specifically for the benefit of such individuals. In the case of adaptations to a property, the exemption will only apply where the cost of the adaptations exceeds 25% of the market value of the property before it is adapted. The exemption ends if the property is sold and the incapacitated individual no longer occupies it as his or her sole or main residence.
Residential properties that have been certified as having significant pyritic damage will be exempt from LPT for a temporary period of approximately three years. Regulations will be made by the Minister for the Environment, Community and Local Government stipulating how properties are to be tested to establish whether they have been affected by a significant level of pyrite-induced damage and providing for the issue of certificates by a competent person where this has been established.
I am advised by the Revenue Commissioners that once a certificate has been issued, an exemption may be claimed in respect of 3 consecutive liability dates. For example, where a certificate has been issued on or before 1 May 2013 the exemption will last until the end of 2015. If a certificate has not been issued before the first and/or second liability dates of 1 May 2013 and 1 November 2013, respectively, a liable person will have the option, where the certificate is issued on or before 31 December 2013, to retrospectively claim that one or other of those dates be the first liability date of the 3 consecutive liability dates. If such a claim is made on or before 31 January 2014, any local property tax that has already been paid in respect of one or both of those liability dates (depending on which date is selected) will then be refunded by the Revenue Commissioners.
104. Deputy Pearse Doherty asked the Minister for Finance his views on the potential conflict in the special liquidator of Irish Bank Resolution Corporation, KPMG being responsible for considering the feasibility of outstanding litigation against competing business and former auditor of Anglo Irish Bank, Ernst and Young; and if he will outline the safeguards that exists to prevent a conflict of interest in respect of consideration of this litigation. [9231/13]
View answerIBRC’s claims against third parties are unaffected by the liquidation. The Special Liquidators will have the power to continue to manage any IBRC claims that currently exist and will have the ability to assert further claims where they arise. The special liquidators ensure that all potential conflicts of interest identified are fully considered. The special liquidators do not believe that continuing litigation previously in process represents a conflict of interest.
105. Deputy Pearse Doherty asked the Minister for Finance if he will provide an update on the preparation and publication of the Mercer expert report on banking pay and perks. [9232/13]
View answerMy Department is presently finalising the report with the consultants and I will bring it to Government shortly for decision. As I have said previously there is a real public interest in the levels of remuneration at the Covered Institutions and I will endeavour to have the details underpinning the review published as soon as possible thereafter.
