Dáil Éireann Debate, Thursday - 18 December 2014
105. Deputy Michael McGrath asked the Minister for Finance the number of initiatives he has announced which have not commenced as they are awaiting EU State aid approval; and if he will make a statement on the matter. [49271/14]
View answerIncentives for Certain Aviation Services Facilities
A scheme of accelerated capital allowances for the construction and refurbishment of certain buildings and structures for use in the maintenance, repair or overhaul of commercial aircraft, and the dismantling of such aircraft for the purposes of salvaging or recycling of parts or materials was announced in Budget 2013. An application for State Aid approval for the scheme was subsequently made to the EU Commission.
The Commission formed the view that the scheme in its current form is not compatible with any State Aid guidelines. Following on from meetings and discussions with officials from the Commission, a revised application was recently submitted, which it is hoped will lead to a positive result in the near future. In the meantime, an amended provision has been included in the recent Finance Bill, in order to address the concerns already communicated by the Commission.
Employment and Investment Initiative
A number of changes were announced to the EII in the recent Budget and Finance Bill. Approval for these changes will need to be sought from the Commission. It is expected that an application will be made shortly.
Exemption from Stamp Duty (Section 70 Finance (No. 2) Act 2013)
Exemption from Stamp Duty on the transfer of shares of companies listed on the Enterprise Securities Market of the Irish Stock Exchange, remains subject to State Aid approval. The proposed measure aims to encourage entrepreneurs and growing businesses to use public equity markets as a source of funding for growth and the creation of jobs. Discussions are on-going with the EU Commission.
Relief for certain leases of farmland (Section 74 Finance Bill 2014)
The EU Commission has advised the Department of Agriculture, Food and the Marine that in its present form this measure may constitute illegal State Aid as it is confined to lands used for farming. The Department of Agriculture, Food and the Marine are currently exploring options with the Commission.
