Dáil Éireann Debate, Wednesday - 17 September 2014
310. Deputy Éamon Ó Cuív asked the Minister for Finance the number of persons to date who have availed of the special new tax relief introduced this year for the upgrading of residential properties; the estimated tax foregone by this tax relief to date in 2015 and 2016; the estimated number of extra jobs created by this tax relief to date; and if he will make a statement on the matter. [34524/14]
View answerThe Home Renovation Incentive (HRI) was introduced in Finance Act (No 2) 2013. The Incentive came into operation on 25 October 2013 and will run until 31 December 2015. It provides for tax relief for homeowners by way of a tax credit at 13.5% of qualifying expenditure incurred on repair, renovation or improvement work, carried out by tax compliant contractors, on a homeowner's only or main residence. The tax credit is granted over the two years following the year the work is carried out and paid for.
I am advised by the Revenue Commissioners that the first claims for the tax relief will not be made until January 2015 when the HRI online claim system is available and it is not possible to say at this point how many residential property owners will avail of the relief.
However, I can advise the Deputy that the level of activity is significant with the total numbers recorded on the Home Renovation Incentive system (HRI online) as at 15/09/2014 as follows:
|
Upgrade |
- |
|
Works |
10,334 |
|
Estimate Value of Works |
€171 million |
|
Number of Properties |
8,286 |
|
Number of Contractors |
2,751 |
Over the last 10 weeks, subsequent to the statistics contained in the reply to Question No. 29060/14 on 8 July 2014, activity on HRI online has continued to steadily increase with on average over 340 works and over €5.5m estimated value of works per week.
These data are not sufficient to enable precise conclusions to be drawn regarding numbers of jobs but I am satisfied that the scheme is an important support for employment and self-employment in the construction sector and the CIF has cited the scheme among a number of factors contributing to an estimated 10,000 extra jobs this year.
