Róisín Shortall
Question:76. Deputy Róisín Shortall asked the Minister for Finance the total value of the promissory note deal as it was applied in Budget 2014. [44059/13]
View answerPromissory Notes
Questions (76)
Written answers
Prior to the promissory note restructuring I would have had to make provision for a cash payment of €3.1 billion to IBRC in 2014 consisting of €1.8 billion in interest and €1.3 billion in repayment of principal. Under the statistical rules governing the Deficit calculation only promissory note interest costs of €1.8 billion would have been recorded in 2014. The NTMA issued eight new Floating Rate Treasury Bonds to the Central Bank of Ireland in February 2013 to replace the Promissory Notes previously held by IBRC. The bonds have maturities ranging from 25 to 40 years and pay interest every six months based on the six month Euribor interest rate plus an interest margin which averages 2.63% across the eight issues.
As a consequence of this restructuring interest costs are much reduced to circa €0.9 billion next year and it is this revised interest cost that is reflected in the deficit estimate of 4.8% of GDP in 2014.
Additionally, there is a significant benefit to government debt over time due to the lower interest payments, and because the annual cash-flow burden that is required to be funded by the State is much lower as a result of the restructuring.
Property Taxation Administration
Questions (77)
Michael Healy-Rae
Question:77. Deputy Michael Healy-Rae asked the Minister for Finance the position regarding a person (details supplied) who over estimated their property tax; and if he will make a statement on the matter. [44072/13]
View answerWritten answers
The Finance (Local Property Tax) Act 2012 (as amended) sets out how the tax is to be administered and how a residential property is to be valued for Local Property Tax (LPT) purposes. I note that the Deputy raised a similar question in July this year. In my reply to that question (No. 65 on 17 July 2013, 35714/13) I informed the House that, as Local Property Tax (LPT) is a self-assessed tax, it is a matter for the property owner to calculate the tax due based on his or her assessment of the market value of the property. I also informed the House that the Revenue Commissioners had confirmed that if a liable person had genuinely overpaid the tax through an error or mistake, then the person should write to LPT Branch, Government Buildings, Ennis, Co Clare, clearly setting out how the overpayment arose and providing the relevant supporting documentation.
I am further advised by the Commissioners that once the relevant documentation is received LPT Branch will make direct contact with the person. Should it transpire that the person did in fact overpay the 2013 liability then it will be possible to offset some or all of the overpayment to the 2014 liability, or make a repayment.
Tax Reliefs Application
Questions (78)
Róisín Shortall
Question:78. Deputy Róisín Shortall asked the Minister for Finance the saving to the Exchequer that would arise if the current arrangements for landlords, whereby they can claim interest repayments against tax for residential rental properties, was ceased for new entrants and the data upon which this estimate was based; and if he will provide similar details in respect of commercial properties. [44074/13]
View answerWritten answers
I am informed by the Revenue Commissioners that, subject to certain conditions, landlords may deduct 75% of the interest on money borrowed to purchase, improve or repair residential property from the gross rent when computing their rental profits for tax purposes on that property. Interest incurred before the first occupation of the property by a tenant for the purposes of a trade or undertaking, or between lettings, is not deductible. I am also informed by the Commissioners that the information provided for interest relief for rental property is based on claims for such relief on all rental properties included in personal income tax returns filed by non-PAYE taxpayers declaring interest on borrowings to be offset against rental income assessable under Case V, Schedule D. It is not possible to separately identify how much of this cost is associated with commercial property.
Based on personal income tax returns filed by non-PAYE taxpayers for 2011, the latest year available, the amount of tax foregone by allowing a deduction for interest on borrowings to be offset against all rental income assessable under Case V, Schedule D for both residential and commercial property is estimated at €690 million.
This estimate is based on assuming that tax relief was allowed at the top income tax rate of 41% and the figure provided could, therefore, be regarded as the maximum Exchequer cost in respect of those taxpayers. The figures for 2011 are subject to adjustment in the event of late returns being filed or where returns already filed are subsequently amended.
It should be noted that any corresponding data returned by PAYE taxpayers in the income tax return form 12 is not captured in the Revenue computer system. However, any PAYE taxpayer with non-PAYE income greater than €3,174 is required to complete an income tax return form 11. This return is the source of the figures provided in this reply.
The saving to the Exchequer from the termination of this tax relief for new claimants would depend on factors such as the numbers of individuals prepared to provide rental property in the current economic climate, the level of borrowings they would require and the extent to which the removal of the tax relief might be a disincentive to potential investors in this enterprise. As data on these factors is not available there is no basis on which an estimate of the potential yield from such a measure could be compiled.
Property Taxation Administration
Questions (79)
John McGuinness
Question:79. Deputy John McGuinness asked the Minister for Finance the reason the property tax is being withdrawn in respect of a person (details supplied) in County Kilkenny. [44090/13]
View answerWritten answers
I am informed by Revenue that a key aspect of the work undertaken in regard to Local Property Tax (LPT) was the development of a comprehensive register of residential properties in the State. During the development process, matching difficulties were encountered when drawing the various data sources together, and in some instances the information available was incorrect. As part of its comprehensive communications strategy, Revenue requested that any individual who received an LPT Return for completion in circumstances where he/she was not the liable person, make contact and clarify the correct details of the liable person. Revenue also clearly stated, that in circumstances where a person who incorrectly received a return and did not make contact to clarify the issue, then he/she would be liable for the tax.
Revenue also confirmed that, in the absence of the return, it would seek to collect the estimated amount that was included with the return using a number of enforcement options including mandatory deduction at source from income, pensions, or various other Government payments in accordance with Sections 64, 65, 66 and 67 of the Local Property Tax Act 2012 (as amended).
In regard to the specific case to which the Deputy refers, the difficulties occurred because the person in question did not make contact with Revenue on foot of either the original letter which issued with an LPT 1 Return in March 2013, or the subsequent reminder letter that issued in July 2013, to advise that she was not the liable owner of the property. The July reminder specifically advised the person of the imminent commencement of mandatory deduction at source from her income if she did not address the issue. Because the person still did not engage an instruction issued to her employer to commence deductions.
Revenue has now received confirmation of the correct liable person in regard to the specific property and the Property Register has been updated to reflect the details. Revenue has also issued instructions to cease the mandatory deductions and will shortly contact the person to arrange a refund of any monies deducted.
Apprenticeship Programmes
Questions (80)
Bernard Durkan
Question:80. Deputy Bernard J. Durkan asked the Minister for Education and Skills the extent to which apprenticeships are available in all areas throughout the country at present; the uptake of such places; the extent to which the places available meet the demand; and if he will make a statement on the matter. [43900/13]
View answerWritten answers
In recent years, the impact of the economic downturn has led to a collapse in demand for apprentices from employers, particularly in construction related trades. Significant numbers of apprentices have also been made redundant before completion of their training.
While demand for a number of apprenticeship trades is not expected to recover to pre- recession levels, employment opportunities may emerge in other sectors of the economy not currently covered by the current apprenticeship scheme. Under the Government's Action Plan for Jobs my Department is committed to carrying out a review of the apprenticeship system in 2013.This review is being carried out in order to provide a modern 21st century, realistic and flexible Irish Apprenticeship System, reflective of the relevant skills requirements of industry both in the public and private sectors and potential apprentices including young unemployed jobseekers.
The review of the Apprenticeship System is being undertaken in two phases, the first being the preparation of a background issues paper, and the second a public consultation process – which is being managed by an independent group appointed in May 2013. This phase of the review is currently under way. Following the consultation process, the review group shall recommend options recognising the broad spectrum of vocational training available, for the development of the apprentice formation system, and other work based education/training systems, including, as necessary: - Legislative changes; Model of delivery/curriculum/ range of crafts/ occupations; Funding and finance mechanisms; Provision changes; Staffing and resource implications; Governance changes; Transition actions resulting from recommendations. It is expected that initial recommendations will be received by end 2013.
For the Deputy's information the details below outline the apprentice population by region year to date and the apprenticeship registrations by region year to date.Population by Region 2013 YTD (As of 6/10/2013)
|
Region |
2013 - YTD |
|
Dublin |
2580 |
|
Midlands |
671 |
|
Mid West |
680 |
|
North East |
608 |
|
North West |
275 |
|
South East |
1392 |
|
South West |
996 |
|
West |
465 |
|
Total |
7667 |
(As of 6/10/2013) - Registration by Region 2013 YTD
|
Region |
2013 - YTD |
|
Dublin |
373 |
|
Midlands |
125 |
|
Mid West |
114 |
|
North East |
121 |
|
North West |
48 |
|
South East |
188 |
|
South West |
202 |
|
West |
95 |
|
Total |
1266 |
Haddington Road Agreement Implementation
Questions (81)
Olivia Mitchell
Question:81. Deputy Olivia Mitchell asked the Minister for Education and Skills if he will consider treating non-union teachers who are willing to accept the terms of the HRA in the same way as members of the TUI; and if he will make a statement on the matter. [43909/13]
View answerWritten answers
Department Circular 49/2013 sets out the position in relation to the Haddington Road Agreement and the Financial Emergency Measures in the Public Interest Act 2013 for teachers in post-primary schools and is available at the following address: http://www.education.ie/en/Circulars-and-Forms/Active-Circulars/cl0049_2013.pdf
The Agreement applies to teachers employed in Education and Training Board schools (apart from Designated Community Colleges). In general, the FEMPI Act continues to apply to teachers employed in Voluntary Secondary schools. In dual-union schools (Designated Community Colleges and Community and Comprehensive Schools), the FEMPI Act continues to apply to teachers who are not members of TUI.
While certain issues of dual representation require further consideration, the position set out above provides an initial basis for the implementation of the Haddington Road Agreement. It is stressed however, that the application of the Agreement is entirely conditional upon adherence to its terms by the teachers to whom it is applied.
As is the norm with public service collective agreements, the Haddington Road Agreement was negotiated with trade unions which are recognised as representing staff in the public service (including teachers). It is normal practice in the public service that the decision of the trade union recognised as holding representative rights for a particular grade or sector will determine the position for all relevant staff in that grade/sector.
School Enrolments
Questions (82)
Brendan Smith
Question:82. Deputy Brendan Smith asked the Minister for Education and Skills if he will clarify the issue regarding catchment areas in relation to national schools; if he will clarify who establishes the catchment areas in the Dublin area; if the catchment areas are laid down by his Department or if they are negotiated locally by school authorities/patrons; the way in which parents can currently gain admission for their children to a school where children have been refused admission as the school is regarded as not within the catchment area of where the child lives; if the proposed amendments to admission policies will change criteria; the appropriate school under current regulations for children living at a particular location (details supplies) in Dublin 5; the way a parent may gain admission for their child to a school other than the designated one; and if he will make a statement on the matter. [43914/13]
View answerWritten answers
It is the responsibility of the managerial authorities of all schools to implement an enrolment policy in accordance with the Education Act, 1998. In this regard a Board of Management may find it necessary to restrict enrolment to children from a particular area or a particular age group or, occasionally, on the basis of some other criterion. The criteria to be applied by schools in such circumstances are a matter for the schools themselves. This selection process and the enrolment policy on which it is based must be non-discriminatory and must be applied fairly in respect of all applicants. Under section 15 (2) (d) of the Education Act 1998, each school is legally obliged to publish its enrolment policy.
Section 29 of the Education Act 1998 provides parents with an appeal process where a board of management of a school or a person acting on behalf of the Board refuses enrolment to a student. Where a school refuses to enrol a pupil, the school is obliged to inform parents of their right under Section 29 of the Education Act 1998 to appeal that decision to either the relevant Educational Training Board or to the Secretary General of my Department.
The National Educational Welfare Board (NEWB) is the statutory agency which can assist parents who are experiencing difficulty in securing a school place for their child. The Board can be contacted at National Educational Welfare Board, National Headquarters, 16-22 Green Street, Dublin 7 or by telephone at 01-8738700.
As the Deputy will be aware, I recently published a draft General Scheme for an Education (Admission to Schools) Bill, 2013 as well as draft regulations for discussion ahead of enacting legislation. I have referred the draft General Scheme and draft regulations to the Oireachtas Joint Committee on Education and Social Protection, to allow a full public discussion of the proposed legislative framework, including inputs from parents and the education partners.
The Joint Committee has issued an invitation to interested individuals and groups for submissions on the Draft General Scheme of an Education (Admission to Schools) Bill 2013. The Joint Committee's closing date for receipt of same is Wednesday 31st October (at 3 pm). Full details of this request are available on the Oireachtas website.
Public Procurement Regulations
Questions (83)
Luke 'Ming' Flanagan
Question:83. Deputy Luke 'Ming' Flanagan asked the Minister for Education and Skills his views on whether the tens of millions in public contracts that were negotiated with the private bus operators by the Bus Éireann employee in the Dundalk School Transport Office, whose irregular actions were reported to An Garda Síochána, were awarded in accordance with the EU Directives on Procurement; and if he will make a statement on the matter. [43933/13]
View answerWritten answers
Bus Éireann has confirmed that the irregular cash transactions identified through its own internal checks at its office in Dundalk were confined to a small number of ticket payments and had no bearing on the separate process of awarding contracts. The award of contracts for school transport services administered by the Dundalk office was in accordance with procurement obligations and instructions.
Student Universal Support Ireland Administration
Questions (84)
Robert Troy
Question:84. Deputy Robert Troy asked the Minister for Education and Skills if he will expedite a Student Universal Support Ireland application in respect of a person (details supplied); and if he will expedite this application. [43955/13]
View answerWritten answers
For student grants purposes, students are categorised according to their circumstances either as students dependent on parents or a legal guardian, or as independent mature students. A student may be assessed as an independent mature student if he/she has attained the age of 23 on the 1st of January of the year of first entry to an approved course or of re-entry following a break in studies of at least three years, and is not ordinarily resident with his/her parents from the previous 1 October. Otherwise he/she would continue to be assessed on the basis of his/her parents' income.
Officials in my Department have confirmed with Student Universal Support Ireland that the student referred to by the Deputy applied initially as an independent student. He was ineligible to be assessed as an independent student and reapplied as a mature dependent student on 5th October 2013. This application is currently awaiting provisional assessment and the student will be notified directly of the outcome.
School Transport Appeals
Questions (85)
Joe Carey
Question:85. Deputy Joe Carey asked the Minister for Education and Skills the position regarding a school transport application in respect of a person (details supplied) in County Clare; and if he will make a statement on the matter. [43993/13]
View answerWritten answers
Bus Éireann which operates the School Transport Scheme on behalf of my Department has advised that the child in question is availing of a morning service from her new address. My Department has offered the family a Special Transport Grant towards the cost of their own private transport arrangements in the afternoon.