The TV licence fee is distributed in accordance with Section 123 of the Broadcasting Act 2009, to both RTÉ and TG4 in order to facilitate the pursuit of their public service objectives which are also set out in the 2009 Act. An Post pays the Department all TV licence revenues collected from sales and the Department of Social Protection currently pays a sum of €52m in respect of free TV licences issued.
From these gross receipts, the Department deducts commission payable to An Post for their agency role which in the past number of years has averaged €11.5m and TG4 currently receives €9.25m. The final liability to An Post in respect of 2013 is currently being determined. The annual liability and calculation basis is subject to contract between the Department and An Post.
In addition, 7% of the revenue goes towards the Broadcasting Funding Scheme, which is operated by the Broadcasting Authority of Ireland and provides funding in support of high quality programmes on Irish culture, heritage and experience, and programmes to improve adult literacy. Revenue from this fund can be applied for by independent producers and broadcasters for specific projects of a public service nature.
The remaining revenues are paid to RTÉ. There is no commission payable on this amount.