Patrick Nulty
Question:102. Deputy Patrick Nulty asked the Minister for Finance the amount of additional revenue increasing capital gains tax to 40% in budget 2014 would yield for the Exchequer. [36055/13]
View answerThursday, 18 July 2013
Questions (102)
Written answers
I am advised by the Revenue Commissioners that the full year yield to the Exchequer, estimated in terms of expected 2013 gains, from increasing the CGT tax rate from 33% to 40% could be in the region of €109 million. This figure includes corporate gains. However, this estimate assumes no behavioural changes on the part of taxpayers, and increases in rates may have a significant behavioural impact and may not produce a corresponding increase in tax yield. In current economic conditions any estimate of additional yield must be treated with caution. In addition, increasing the rate could, in theory, lead to a reduction in yield from the tax.