Written Answers Nos. 158-174
158. Deputy Pat Deering asked the Tánaiste and Minister for Social Protection when an appeal for jobseeker's allowance and supplementary welfare allowance in respect of a person (details supplied) in County Carlow will be decided, as the person concerned has no income, only child benefit, and no means. [46111/14]
View answerThe Social Welfare Appeals Office has advised me that the appeal from the person concerned was referred to an Appeals Officer who has decided to hold an oral hearing in respect of both the Jobseeker's Allowance appeal and Supplementary Welfare Allowance appeal on 11th December 2014. The person concerned has been notified of the arrangements for the hearing.
The Social Welfare Appeals Office functions independently of the Minister for Social Protection and of the Department and is responsible for determining appeals against decisions in relation to social welfare entitlements.
159. Deputy Éamon Ó Cuív asked the Tánaiste and Minister for Social Protection if she will review the decision not to enable disability allowance payments to be paid into a bank account in respect of a person (details supplied) in County Galway; the reason the disability allowance payments can only be accessed at their nominated post office, in view of the strong case made by medical and social workers in relation to this issue; and if she will make a statement on the matter. [46118/14]
View answerExcept in certain exceptional circumstances, disability allowance is not payable for any period in respect of which the claimant is resident outside of the State. In all circumstances, disability allowance recipients must inform the Department that they are intending to leave the State. For control reasons, the Department has decided that the appropriate payment method for the person concerned is collection at her nearest Post Office. The person in question has appointed an agent to collect payments on her behalf. The Department is aware of the person’s desire to have her payment made by electronic fund transfer to her bank account and is keeping the matter under review.
160. Deputy Barry Cowen asked the Tánaiste and Minister for Social Protection the position regarding persons on community employment schemes in relation to changes announced in budget 2012; the impact on double payments; and if she will make a statement on the matter. [46124/14]
View answerI wish to advise the Deputy that those participants who commenced Community Employment (CE) prior to Monday 16th January 2012 and who have continuous service on CE since that date (no single break in excess of 12 months), may retain their primary social welfare payment (subject to continued eligibility for receipt of same) alongside their CE Personal Rate allowance beyond December 2014, which was the previous cut-off date. This will now continue until they finish their time on CE.
The participants concerned have been informed of this via their Sponsor.
161. Deputy Eamon Gilmore asked the Tánaiste and Minister for Social Protection if she will consider extending the free travel scheme to those aged under 16 with moderate learning disabilities; and if she will make a statement on the matter. [46149/14]
View answerThere are currently approximately 800,000 people in Ireland in receipt of free travel at an annual cost of €77 million per annum.
The free travel scheme is available to all people aged over 66 living permanently in the State. Applicants who are under age 66, including those with learning disabilities, must be in receipt of a qualifying payment in order to qualify for the scheme. The qualifying payments for those aged under 66 are invalidity pension, blind pension, disability allowance, carer’s allowance or an equivalent social security payment from a country covered by EC Regulations or one with which Ireland has a Bilateral Social Security Agreement.
On most transport services children under sixteen years of age are charged fares at special concessionary child rates.
Any decision to extend the free travel scheme to persons who are not in receipt of a primary qualifying payment would have budgetary consequences and would have to be considered in the context of budget negotiations.
162. Deputy Michael McNamara asked the Tánaiste and Minister for Social Protection when the Labour Court recommendation regarding the pension arrangements for CE supervisors (details supplied) will be implemented; and if she will make a statement on the matter. [46201/14]
View answerIn July 2008, the Labour Court recommended that an agreed pension scheme should be introduced for Community Employment (CE) scheme supervisors and assistant supervisors (LCR19293) and that such a scheme should be adequately funded by FÁS, the agency responsible for CE at that time. The Department of Social Protection is now responsible for CE.
Notwithstanding the position of this Department in rejecting that liability for these costs should be met from public funds, this matter has been the subject of discussions with the Department of Public Expenditure and Reform (D/PER) and the unions representing CE supervisors. The D/PER’s position, as outlined to the unions, is that companies contracted by the State to provide a service, including in the community sector, will have to manage their expenditure pressures, including labour and pension costs, from within existing funding levels.
Given the level of additional funding that would be required from this Department, the implementation of the claim is not considered sustainable in light of the current and on-going fiscal environment and the requirement to contain public expenditure. The costs of the introduction of any scheme are likely to be of the order of €3m per annum.
It should also be noted that this Department is not the employer of CE supervisors and such employees are not public servants but are employees of the sponsoring organisations. The responsibilities of the sponsoring organisations as employers and the individuals concerned as employees must also be recognised when considering pension provision arrangements.
Employers (including CE Sponsoring Organisations) are legally obliged to offer access to at least one Standard Personal Retirement Savings Account (PRSA) under the Pension (Amendment) Act 2002. All CE sponsoring organisations were informed of their responsibilities under this Act at that time.
It should also be noted that CE Supervisors may also qualify for the State Pension at 66 years of age. If they have accrued sufficient PRSI contributions (520 contributions @ full rate, equivalent to 10 years contributions) they will qualify for the State Pension (Contributory), which is not means-tested. In the event that there are insufficient contributions, the person will qualify for the State Pension (Non-Contributory), provided they satisfy the means test.
163. Deputy Michael Healy-Rae asked the Tánaiste and Minister for Social Protection when the result of the review of the double payment issue, which has implications for scheme employees, will be published; and if she will make a statement on the matter. [46217/14]
View answerI wish to advise the Deputy that those participants who commenced Community Employment (CE) prior to Monday 16th January 2012 and who have continuous service on CE since that date (no single break in excess of 12 months), may retain their primary social welfare payment (subject to continued eligibility for receipt of same) alongside their CE personal rate allowance beyond December 2014, which was the previous cut-off date. This will now continue until they finish their time on CE.
The participants concerned have been informed of this via their Sponsor.
164. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Social Protection the position regarding one-parent family payment in the case of a person (details supplied) in County Carlow who was previously in payment; and if she will make a statement on the matter. [46223/14]
View answerAs outlined to the Deputy in reply to question, 36403-14, on 25th September 2014 and question 43633-14, on 13th November 2014, there is no record of an application for a one-parent family payment in respect of the person concerned. If she wishes to make a one-parent family payment application, she should contact her local Intreo (Social Welfare) office.
165. Deputy Aengus Ó Snodaigh asked the Tánaiste and Minister for Social Protection if she or the Minister of State have scheduled any official trips overseas between now and the end of 2015; and, if so, the details of these. [46227/14]
View answerAt this stage my only confirmed trip abroad is to attend the meeting of employment and social affairs ministers (EPSCO) scheduled for the 11th December 2014 in Brussels. I would hope to be able to attend EPSCO meetings scheduled for 2015 but this will depend on other business commitments at the time of the meetings and the items scheduled for discussion.
There are no official trips scheduled for Minister Humphreys at present.
167. Deputy John McGuinness asked the Tánaiste and Minister for Social Protection if an appeal regarding benefit will be expedited and approved in respect of a person (details supplied) in County Kilkenny; and if she will make a statement on the matter. [46304/14]
View answerThe Social Welfare Appeals Office has advised me that an appeal by the person concerned was referred to an Appeals Officer on 1st October 2014, who will make a summary decision on the appeal based on the documentary evidence presented or, if required, hold an oral hearing.
The Social Welfare Appeals Office functions independently of the Minister for Social Protection and of the Department and is responsible for determining appeals against decisions in relation to social welfare entitlements.
168. Deputy John McGuinness asked the Tánaiste and Minister for Social Protection is she will expedite an appeal for disability allowance in respect of a person (details supplied) in County Kilkenny. [46308/14]
View answerThe Social Welfare Appeals Office has advised me that an appeal by the person concerned was registered in that office on 27th November 2014. It is a statutory requirement of the appeals process that the relevant Departmental papers and comments by the Deciding Officer on the grounds of appeal be sought. When these papers have been received from the Department, the appeal in question will be referred to an Appeals Officer who will make a summary decision on the appeal based on the documentary evidence presented or, if required, hold an oral hearing.
The Social Welfare Appeals Office functions independently of the Minister for Social Protection and of the Department and is responsible for determining appeals against decisions on social welfare entitlements.
169. Deputy Sean Fleming asked the Tánaiste and Minister for Social Protection the number of State board appointments that have been made under the aegis of her Department in 2014 without being advertised; the number that have been made of persons who had not formally applied for consideration for the particular appointment; and if she will make a statement on the matter. [46551/14]
View answerThe statutory bodies operating under the aegis of the Department of Social Protection are the Citizens Information Board, the Pensions Authority, the Pensions Council, the Pensions Ombudsman (which does not have a Board) and the Social Welfare Tribunal.
There were no appointments made in 2014 to the Pensions Council or the Social Welfare Tribunal.
Citizens Information Board
I have made two appointments to the Citizens Information Board in 2014. One was the re-appointment of a member who was initially appointed following public advertisement of the vacancy and the second was the Department’s representative which does not require advertisement.
Pensions Authority
Pensions Authority (formerly the Pension Board) was established on 7th March 2014 and consists of three members. The previous chairperson of the Pension Board was re-appointed to the Pensions Authority. In accordance with the requirements of the appropriate legislation, I also appointed an officer of the Department of Social Protection and an officer of the Department of Finance nominated by the Minister for Finance to membership of the Authority.
170. Deputy Timmy Dooley asked the Minister for Finance if his Department has considered methods to include part-time workers under the tax saver scheme currently in place for full-time workers; and if he will make a statement on the matter. [45768/14]
View answerMy response to the Deputy last week (PQ 45319/14 of 25th November, Question No. 190) outlined how this scheme works. There is no provision in the legislation intended to prevent a part-time worker participating. That said, it is open to employers to decide whether or not they wish to operate the scheme. While I would like to see it offered to any employee who wishes to avail of it by means of an approved transport provider, ultimately it is not compulsory for employers to make it available.
171. Deputy Timmy Dooley asked the Minister for Finance further to Parliamentary Question No. 137 of 15 January 2014, if he will provide an update on the Revenue Commissioners' current view regarding the taxation status of crypto-currencies, including Bitcoin; and if he will make a statement on the matter. [45769/14]
View answerAs noted in my reply to the Question cited by the Deputy, if Bitcoin (or another digital or crypto-currency) is received as payment in commerce, then the same rules in place for payments received in other foreign currencies also apply. If speculation on Bitcoin occurs, then the taxation rules that would apply to any gain are applicable.
More specifically, VAT is generally chargeable on the total consideration for goods and services, including all taxes, commissions, costs, and charges (excluding the VAT chargeable in respect of that supply). This general rule is based on the EU VAT Directive. Where the consideration does not consist of, or does not consist wholly of, an amount of money, VAT is chargeable by reference to what might reasonably be expected to be the open-market (arm's length) price of the goods or services supplied. The VAT Regulations require that the amount of tax included on an invoice be expressed in Euro. The exchange rate to be used for non-Euro currency transactions is either the latest selling rate for the foreign currency recorded by the European Central Bank or an alternative method of determining the exchange rate that is agreed with Revenue.
I am advised that Revenue has continued to monitor developments in Bitcoin (and other such currencies) during 2014. This includes using international fora to follow progress in other countries, in particular other Member States of the EU. However, as Bitcoin features a combination of some factors that constitute a commodity and some that constitute a currency, the implications for taxation are varied and there is as yet no consensus on the "best practice" approach for a tax administration. Bitcoin also requires a coordinated response between Revenue, my Department and the Central Bank of Ireland.
While Bitcoin has the potential to be misused and lead to instances of non-compliance and tax evasion, I am advised that, at this point in time, the threat posed to the Exchequer is likely to be small. It is probable too that for some evaders, it represents a new opportunity for existing non-compliance, rather than a new form of evasion.
I am confident that the Revenue Commissioners are proactively following developments in digital currencies and will act to advance their position publicly should events require this.
172. Deputy Michelle Mulherin asked the Minister for Finance further to Parliamentary Question No. 69 of 2 October 2014, the number of new complaints of petrol stretching in County Mayo that the Customs and Excise Service has been investigating in each month since June 2014 to date in 2014; the position regarding current investigations; and if he will make a statement on the matter. [45780/14]
View answer209. Deputy Dara Calleary asked the Minister for Finance the number of inspections undertaken by either the Customs and Excise service or the Revenue Commissioners of fuel delivery tankers in the country between 1 June and 31 October 2014; if he will provide this information on a county basis and by location of inspection; and if he will make a statement on the matter. [46160/14]
View answer210. Deputy Dara Calleary asked the Minister for Finance the number of inspections undertaken by either the Customs and Excise service or the Revenue Commissioners at fuel import centres or distribution centres in the country between 1 June and 31 October 2014, if he will provide this information on a county basis and by location of inspection; and if he will make a statement on the matter. [46161/14]
View answer211. Deputy Dara Calleary asked the Minister for Finance the action undertaken by the Revenue Commissioners and by An Garda Síochána since the launch of their joint task force to address the petrol stretching issue; and if he will make a statement on the matter. [46162/14]
View answer212. Deputy Dara Calleary asked the Minister for Finance his plans to restore consumer confidence in the motor fuel sector in view of the ongoing petrol stretching problem; his views on introducing testing of petrol, diesel and other fuels at the point of import as well as at the point of sale; and if he will make a statement on the matter. [46163/14]
View answerI propose to take Questions Nos. 172, 209 and 210 to 212, inclusive, together.
I am advised by the Revenue Commissioners, who are responsible for tackling fuel fraud, that they are very aware of the risks posed to consumers' vehicles, legitimate businesses and the Exchequer by all forms of fuel fraud.
Every Filling Station about which a complaint was made has been visited by Revenue Enforcement officers and samples were taken for analysis by the State Laboratory. A total of 175 samples of petrol from Filling Stations and other sources have been taken for analysis following checks conducted from June 2014 to date. The scientific analysis required is complex and time consuming and the State Laboratory has conducted extensive tests and re-tests on the samples. Normally, when fraudsters attempt to "stretch" petrol, they add methanol, kerosene or other low excise duty agents. Despite extensive testing by the State Laboratory, no evidence of the presence of methanol, kerosene or any other known prohibited stretching agent has been found in any of the samples, except two samples taken from one site on the eastern seaboard. The conclusive results received in that particular case has resulted in seizure of the product, closure of the facility and a file is being prepared for prosecution.
Following a series of further tests conducted by the State Laboratory, results have been received in recent days which indicate the presence of traces of road diesel in several samples taken from a variety of locations (including Co Mayo) during August and September. This could indicate that petrol was contaminated with road diesel at some point in time. There is no rational economic reason or fraudulent incentive for anyone to deliberately mix normal road diesel with petrol. This contamination could have taken place earlier in the summer, well ahead of the problems manifesting themselves in cars in Co Mayo and elsewhere.
If the problems that have come to light were caused by an unintended contamination as a result of diesel being inadvertently mixed into petrol at some point along the supply chain, there would be no Revenue offence involved. However, the Deputies can be assured that the Revenue Commissioners are vigorously investigating the possibility of tax fraud being associated with the identified problems. In any instances where the analysis of petrol samples by the State Laboratory indicates the presence of illegal stretching agents, Revenue will take swift and robust action and pursue prosecutions against offenders where possible.
In regard to the Deputy's question regarding new complaints in Co Mayo, I am advised by the Revenue Commissioners that they have received a total of 19 additional complaints from the public in Co. Mayo since 2 October 2014 (16 in October and 3 in November) with regard to problems relating to petrol quality, and suggestions that these problems are attributable to petrol stretching.
The Revenue Commissioners are continuing their investigation in conjunction with An Garda Síochána. The investigation includes sharing of information and intelligence and intensive monitoring of the situation.
Revenue are continuing to sample suspect fuel and to challenge fuel delivery tankers when encountered by Enforcement officers particularly throughout the Border Midlands West Region. No cases of contaminated petrol have been identified as a result of these checks from June 2014 to date. In Co Mayo 6 fuel delivery tankers were stopped and inspected during the month of October. In the time available it is not possible to provide national figures.
In regard to the Deputy's question regarding fuel import and distribution centres, I am advised by the Revenue Commissioners that such centres must be approved by them as Authorised Warehouses. Once approved, an authorised warehouse-keeper is at all times responsible for the duty on all oil products in the warehouse and must ensure that the oil in the warehouse is safeguarded and properly and fully accounted for. Revenue maintains a permanent presence of control staff at the main Mineral Oil import depots throughout the country. These officers engage on a daily basis with the authorised warehouse keepers and industry personnel on all compliance matters relating to oil, supervision of warehouse activities, approval of warehouse requests, accounting for excise duties and VAT, accounting for Customs duty, provision of statistics, and generally ensuring compliance by the various oil companies with relevant Revenue regulations.
In addition, as part of its routine compliance work Revenue actively monitor the mineral oil sector through analysis of monthly Return of Oil Movements and supply chain data. Any anomalies or breaches of Regulations detected are fully investigated as a matter of course.
I am further advised by the Revenue Commissioners that the main mineral oil distributors take daily samples of imported fuel on which they carry out quality assurance checks. I have no plans currently to introduce testing at point of importation but I will of course keep the matter under review.
I wish to assure the Deputy I am satisfied the Revenue Commissioners are taking all possible actions to identify the problem and challenge any instances of identified fuel fraud including, where possible, pursuing prosecutions against offenders.
173. Deputy Alan Farrell asked the Minister for Finance in view of the high cost of child care facing many families throughout the country, his views on implementing tax relief for those faced with these costs; his plans to assist those who are struggling with these costs; and if he will make a statement on the matter. [45815/14]
View answerTax relief is not available to parents in respect of crèche fees or childcare costs. However, I would like to assure the Deputy that the Government acknowledges the continuing cost pressures on parents, particularly those with young children. In recognition of these cost pressures, a number of support measures are in place to ease the burden on working parents. These include the Community Childcare Subvention (CCS) programme, which funds community childcare services to enable them to charge reduced childcare fees to qualifying parents, the Childcare Education and Training Support (CETS) programme which provides free childcare places to qualifying Solas and VEC trainees and the Early Childhood Care and Education (ECCE) programme which provides for a free pre-school year for children in the year before commencing primary school. Generous entitlements to paid and unpaid maternity leave as well as child benefit payments are also provided.
The Department of Social Protection provides financial support to families on low pay by way of the Family Income Supplement (FIS) and additionally to one-parent families through the one-parent family payment.
Furthermore, a Single Person Child Carer tax credit of €1,650 is available as well as an additional standard rate band of €4,000. This credit and band is payable to any single person with a child under 18 years of age or over 18 years of age if in full time education or permanently incapacitated.
A relief did exist in the form of a benefit-in-kind exemption where childcare facilities were provided by the employer. However, this relief was abolished in Finance Act 2011. The Commission on Taxation recommended the abolition of this exemption, citing equity issues in relation to those parents whose employers did not provide such facilities.
I have no plans to introduce a tax relief for parents to assist with childcare costs. To provide such a tax relief could be seen to unfairly discriminate against those individuals who stay at home and look after their children. While wanting to encourage participation in the workforce, equally we cannot say to individuals who stay at home that they are making a less valuable contribution to society.
In addition, tax relief is only of benefit to those in the tax net and it is estimated that in 2014, 39% of income earners will be exempt from income tax altogether. It could also be argued that any tax relief would most likely be absorbed by childcare providers in the form of higher prices.
As the Deputy will appreciate, I receive numerous requests for the introduction of new tax reliefs and the extension of existing ones. In considering these, I must be mindful of the public finances and the many demands on the Exchequer given the current budgetary constraints. Tax reliefs, no matter how worthwhile in themselves, reduce the tax base and make general reform of the tax system that much more difficult.
174. Deputy Eoghan Murphy asked the Minister for Finance if he will provide further details regarding the Finance Bill (details supplied). [45878/14]
View answerSection 82 of the Capital Acquisitions Tax Consolidation Act 2003 exempts certain receipts from Capital Acquisitions Tax. Under section 82(2), normal and reasonable payments made by a disponer, during his or her lifetime, for the support, maintenance or education of their children (including the children of a civil partner), or to a person to whom the disponer stands in loco parentis, or to a dependent relative of the disponer, are exempt from CAT.
This Section 82 exemption is being amended in this year's Finance Bill, because the Revenue Commissioners in the course of carrying out Revenue compliance programmes have established that this exemption is being abused to provide significant tax-free gifts of money and assets to adult children far in advance of the intention of the exemption. In addition, it has also been brought to the Revenue Commissioners' attention by a concerned tax practitioner that this exemption is subject to widespread abuse. The full extent to which this exemption is being abused cannot be determined because CAT is a self-assessment tax and there is no obligation to submit returns to the Revenue Commissioners in respect of any benefit that is legally exempt from tax under Section 82.
The amendment to section 82(2) is intended to ensure, where there is a need to make provision for support, maintenance or education of children, that the exemption is confined to normal and reasonable payments made to minor children; to children under the age of 25 years who are in full-time education and to children regardless of age who are permanently incapacitated by reason of physical or mental infirmity from maintaining themselves.
It is important to note that, apart from this particular exemption, parents can make gifts to their children within certain limits, without giving rise to a CAT liability. For example, parents can each gift €3,000 in any year to each of their children (that's €6,000 a year to each child if both parents wish to make such gifts). Parents can also gift the same amounts to partners of their children (e.g. fiancé, fiancée, daughter-in-law, son-in-law) free of CAT. In effect parents can gift up to €12,000 in each year to their children and partners in these circumstances.
Any such payments within these limits do not reduce the parent to child Group Threshold of €225,000, which remains intact for future larger gifts and inheritances.
