Written Answers Nos. 154-168
154. Deputy Michael McGrath asked the Minister for Finance the annual cost of the artists exemption tax relief and the number of persons benefitting in each of the years 2008 to date, in tabular form; if he will review the exemption; and if he will make a statement on the matter. [45986/15]
View answerI am advised by the Revenue Commissioners that a wide range of statistical information is available on the Commissioners' Statistics webpage: http://www.revenue.ie/en/about/statistics/index.html. In relation to the Deputy's Question, the latest information on the cost and numbers benefiting from the Exemption of Certain Earnings of Writers, Composers and Artists scheme can be found at http://www.revenue.ie/en/about/statistics/costs-tax-expenditures.pdf. The latest full year for which information is available is 2013. Updates for 2014 will be published in due course.
A review of this scheme was published at Budget time, and is available on the Budget website at: http://budget.gov.ie/Budgets/2016/Documents/Tax_Expenditures_Report_pub.pdf.
155. Deputy Michael McGrath asked the Minister for Finance the occasions when he has requested a payment from the local government fund under the provisions of section 6(2)(c) of the Local Government Act 1998, as amended, including the dates the requests were made, the amounts requested and the dates the moneys were transferred; if he will seek further funds before the end of 2015; and if he will make a statement on the matter. [45987/15]
View answerThe following table sets out full details regarding payments from the Local Government Fund, under the provisions of section 6(2)(c) of the Local Government Act 1998 as amended.
|
Year |
Request date |
Amount Requested |
Transfer date |
Amount received |
|
2014 |
16 December 2014 |
€520 million |
31 December 2014 |
€520 million |
|
2015 |
4 September 2015 |
€250 million |
18 September 2015 |
€250 million |
In terms of further requests in 2015, I would point out that on 11 December 2015, I wrote to the Minister for Environment, Community and Local Government, Mr. Alan Kelly, T.D., requesting an amount of €231 million to be transferred from the Local Government Fund to the Exchequer before the year end. This will bring the total amount transferred from the Local Government Fund to the Exchequer in 2015 to €481 million.
156. Deputy Michael McGrath asked the Minister for Finance to provide, in tabular form, the number of National Asset Management Agency debtors to declare themselves bankrupt in each of the years 2008 to date; the country in which they declared themselves bankrupt; the debts owed and the debts owed to the agency in each case; the value of the assets secured by the agency and the amount in unsecured debt received by the agency to date; and if he will make a statement on the matter. [45988/15]
View answerInformation on NAMA debtor bankruptcy is set out in the following tables by year and jurisdiction.
Bankruptcies per Jurisdiction
|
Country |
2009 |
2010 |
2011 |
2012 |
2013 |
2014 |
2015 |
Total |
|
Ireland |
3 |
2 |
3 |
3 |
1 |
5 |
5 |
22 |
|
GB and NI |
1 |
1 |
13 |
29 |
15 |
10* |
2 |
71* |
|
U.S.A. |
- |
- |
- |
- |
2 |
- |
- |
2 |
|
South Africa |
- |
- |
- |
- |
- |
- |
1 |
1 |
*Some of these are debtors which transferred as part of the Project Eagle or Project Arrow loan sales.
Bankruptcy Discharges by Jurisdiction
|
Country |
2009 |
2010 |
2011 |
2012 |
2013 |
2014 |
2015 |
Total |
|
Ireland |
- |
- |
- |
- |
- |
6 |
4 |
10 |
|
|
|
|
|
|
|
|
|
|
|
GB and NI |
- |
- |
1 |
11 |
24 |
14 |
8 |
58 |
|
U.S. A. |
- |
- |
- |
- |
- |
1 |
- |
1 |
I am advised by NAMA that debtors that have been declared bankrupt had, by reference to the current nominal or par value of loans, exposure through wider debtor connections to aggregate par debt of €8.4 billion.
NAMA's security position is not adversely affected by debtor bankruptcy. In the case of debtors who have been declared bankrupt, NAMA has enforced over the assets that secures its loans and continues to realise these assets in the normal way.
When a debtor is declared bankrupt, the assets available to the bankruptcy trustee are usually the remaining unencumbered/unsecured assets. The role of the bankruptcy trustee is to realise these assets and to make a distribution to all unsecured creditors including any NAMA unsecured balances.
The bankruptcy trustee continues to deal with all outstanding debt, even where a bankruptcy is discharged, until such time as all assets have been realised and the debt, in so far as possible, has been repaid. The bankruptcy trustee can also seek to have the bankrupt contribute from post-bankruptcy earnings through an income payment order.
NAMA reports on debt recoveries in its quarterly and annual financial accounts and does not report separately on recoveries from debtors that have been declared bankrupt. Debt recovery information is highlighted as part of NAMA's reporting on the movement in its loans and receivables balances.
157. Deputy Michael McGrath asked the Minister for Finance the final legal bill to the National Asset Management Agency in respect of the High Court and Supreme Court cases concerning the agency's legal battle with the Office of the Commissioner for Environmental Information and concerning the release of information to a journalist (details supplied); the legal costs concerned and the payments to named counsel in the case; and if he will make a statement on the matter. [45989/15]
View answerI am advised by NAMA that it has incurred total legal costs of €127,324 in the case referenced by the Deputy. The breakdown of the costs is set out below.
|
High Court |
€ |
|
Counsel |
|
|
Paul Sreenan SC |
€3,950 |
|
Brian Murray SC |
€22,000 |
|
Ciaran Lewis BL |
€22,000 |
|
Solicitors Fees |
€20,000 |
|
Stenographer |
€839 |
|
|
|
|
Supreme Court |
|
|
Counsel |
|
|
Brian Murray SC |
€19,235 |
|
Ciaran Lewis BL |
€11,800 |
|
Solicitors Fees |
€27,500 |
|
Total Fees |
€127,324 |
158. Deputy Michael McGrath asked the Minister for Finance the fines greater than €100,000 imposed by the Central Bank of Ireland on financial institutions over the past three years; and if he will make a statement on the matter. [45990/15]
View answerThe Central Bank has provided me with the following information on fines greater than €100,000 it has imposed over the past three years.
|
Year |
Name |
Date |
€ |
|
|
2013 |
Quinn Insurance Ltd (under Administration) |
18/02/2013 |
€5,000,000 |
Fine waived in the public interest |
|
|
Citibank Europe plc |
11/12/2013 |
€550,000 |
|
|
|
Allied Irish Banks plc |
17/12/2013 |
€490,000 |
|
|
|
Total fines greater than €100,000 imposed for 2013 |
€6,040,000 |
|
|
|
2014 |
Ava Capital Markets Limited |
04/03/2014 |
€165,000 |
|
|
|
UniCredit Bank Ireland p.l.c. |
13/03/2014 |
€315,000 |
|
|
|
FBD Insurance plc |
08/05/2014 |
€490,000 |
|
|
|
Squared Financial Services Limited |
16/05/2014 |
€100,000 |
|
|
|
Bank of Montreal Ireland plc |
21/05/2014 |
€650,000 |
|
|
|
Ulster Bank Ireland |
12/11/2014 |
€3,500,000 |
|
|
|
Provident Personal Credit Limited t/a Provident |
01/12/2014 |
€105,000 |
|
|
|
Total fines greater than €100,000 imposed for 2014 |
€5,325,000 |
|
|
|
2015 |
Western Union |
19/05/2015 |
€1,750,000 |
|
|
|
Mr Tadhg Gunnell |
21/05/2015 |
€105,000 |
The Central Bank considered that the actions of Mr Gunnell also merited a monetary penalty of €105,000 being imposed on him. However, on the basis that Mr Gunnell was adjudicated bankrupt by the High Court on 26 January 2015, this monetary penalty has been waived. |
|
|
Irish Nationwide Building Society |
15/07/2015 |
€5,000,000 |
Fine waived in the public interest |
|
|
Total fines greater than €100,000 imposed for 2015 |
€6,855,000 |
|
|
|
|
Total fines greater than €100,000 imposed from 2013 to 2015 |
€18,220,000 |
|
159. Deputy Denis Naughten asked the Minister for Finance if he will communicate with each of the pillar banks seeking a deferral of mortgage repayments on commercial and residential properties without flood insurance that were flooded during the recent flooding; if he will secure a commitment from the banks that a flexible approach will be taken to repayments for all small businesses damaged or forced to close during the period in question; and if he will make a statement on the matter. [45996/15]
View answerThe Deputy will be aware that I, in my role as Minister for Finance, have no direct function in the relationship between the banks and their customers. I have no statutory function in relation to the commercial decisions made by individual institutions at any particular time and these are taken by the board and management of the relevant institution. A Relationship Framework has been specified that defines the nature of the relationship between the Minister for Finance and each bank and the Relationship Frameworks for AIB and BOI can be found at: http://www.finance.gov.ie/sites/default/files/Allied-Irish-Banks1.pdf and http://www.finance.gov.ie/sites/default/files/Bank-of-Ireland1_0.pdf.
Notwithstanding this, I would expect the banks to show flexibility and understanding to those customers who have been affected by the recent flooding events. A direct response from AIB and Bank of Ireland to the questions raised by the Deputy is detailed below.
AIB:
"AIB is acutely aware of the significant impact that flooding has had on homeowners and businesses. AIB has already announced details of a range of measures to assist businesses, farmers and personal customers who have suffered damage in the recent flooding. The bank has also put in place an Emergency Flood Response Line with effect from Wednesday, 15th December.
Personal customers who have experienced flooding in their homes can avail of a number of potential solutions including a range of mortgage supports tailored to individual customer circumstances. Since the Christmas trading period can be so critical to many business customers who may have been impacted by the recent flooding, AIB has also announced a number of potential solutions for this sector. The bank has confirmed that a team of experienced advisors will be on hand to assist customers and connect them to the relevant contact person in their local AIB/EBS Branch or Business Centre where necessary.
|
For AIB customers, the number is 0818 303 034, Lines open Monday - Friday from 8am to 9pm and Saturdays 9am to 6pm |
For EBS customers, the number is 1850 654 321, Lines open Monday - Friday 9am to 5.30pm |
For Haven customers the number is 1850 565 500, Lines open Monday Friday 9am to 5.30pm" |
BOI:
"Bank of Ireland has put in place a fast track process (effective 9th December) for mortgage customers to apply for a moratorium of up to 3 months on their mortgage payments if they have been affected by recent weather events and flooding. This is part of a number of supports introduced for our consumer and business customers. The Bank has also introduced a €20 million loan fund with discounted lending rates available to individuals or businesses impacted. These arrangements are supported by proactive communication to customers locally. Impacted customers should call to their branch and speak with the manager or a member of their team who can advise them of the options available to them."
160. Deputy Denis Naughten asked the Minister for Finance if he will ensure that the home renovation incentive scheme includes works by home-owners and landlords to install flood prevention measures which can reduce the risk of flooding to their properties; and if he will make a statement on the matter. [45998/15]
View answerThe Home Renovation Incentive provides tax relief by way of a tax credit at 13.5% of qualifying expenditure on repair, renovation and improvement works on a person's main home or rental property. I am informed by the Revenue Commissioners that works on a dwelling, which are aimed at preventing the risk of flooding, where they otherwise meet the terms of the Incentive, will qualify for relief.
161. Deputy Michael McCarthy asked the Minister for Finance his views on a matter (details supplied) regarding concessions for persons with disabilities who are purchasing a new vehicle; and if he will make a statement on the matter. [46005/15]
View answerIn order for a vehicle to qualify for relief under the Drivers and Passengers with Disabilities Scheme, it must be specially constructed or adapted to take account of a person's disablement. In the case of hand controls, an Individual Vehicle Approval certificate is required to confirm that the work carried out meets NSAI (National Standards Authority of Ireland) standards. I am assured by Revenue that the number of times adaptions are transferred from one vehicle to another is not a matter of concern to them.
I am advised by Revenue that an incomplete application, from the person concerned, for relief from Vehicle Registration Tax on the proposed purchase of a new car in January 2016 was received on 8 December 2015. This application has been returned for completion and will be processed without delay when it is re-submitted.
162. Deputy Róisín Shortall asked the Minister for Finance the projected number and percentage of income earners who will be exempt from the universal social charge in 2016. [46044/15]
View answer163. Deputy Róisín Shortall asked the Minister for Finance the projected number and percentage of income earners who will be below the entry level for income tax in 2016, including those who will enjoy a tax exemption based on age. [46045/15]
View answer164. Deputy Róisín Shortall asked the Minister for Finance the number and percentage of income earners who will pay income tax at the 40% rate and at the 20% rate in 2016. [46047/15]
View answer166. Deputy Róisín Shortall asked the Minister for Finance the number and percentage of income earners who will pay universal social charge at each of the tax brackets in 2016. [46049/15]
View answerI propose to take Questions Nos. 162 to 164, inclusive, and 166 together.
I am informed by the Revenue Commissioners that a Post-Budget 2016 Ready Reckoner is available on the Revenue Statistics webpage at: http://www.revenue.ie/en/about/statistics/ready-reckoner.pdf.
This Ready Reckoner shows a wide range of information including the projected number and percentage of income earners who are exempt and who pay income tax and Universal Social Charge (USC) at each rate as set out in Budget 2016.
These figures are estimates from the Revenue tax forecasting model using latest actual data for the year 2013, adjusted as necessary for income, self-employment and employment trends in the interim. They are estimated by reference to 2016 incomes and are provisional and may be revised.
165. Deputy Róisín Shortall asked the Minister for Finance the number and percentage of persons of 65 years of age and over who are considered exempt from income tax. [46048/15]
View answerI am informed by the Revenue Commissioners that the estimated number of persons 65 years of age and over who are considered exempt from income tax is 26,000. I would point out that these figures are based on the number of persons who make returns to Revenue. They do not include persons whose income is below the income tax exemption limits but who do not make a return to Revenue. These numbers equate to approximately 1% of all income earners, including those who do not make a return of income themselves or request a balancing statement.
These figures are estimates from the Revenue tax forecasting model using latest actual data for the year 2013, adjusted as necessary for income, self-employment and employment trends in the interim. They are estimated by reference to 2016 incomes and are provisional and may be revised.
167. Deputy Michael McGrath asked the Minister for Finance the tax expenditure associated with the claiming of flat rate expenses; the number of such claims that were made in 2013 and 2014; and if he will make a statement on the matter. [46052/15]
View answer168. Deputy Michael McGrath asked the Minister for Finance the last occasion on which the Revenue Commissioners reviewed the flat rate expenses system for tax relief, including the rate at which they apply; and if he will make a statement on the matter. [46054/15]
View answerI propose to take Questions Nos. 167 and 168 together.
I am advised by the Revenue Commissioners that a wide range of statistical information is available on the Commissioners' Statistics webpage at http://www.revenue.ie/en/about/statistics/index.html.
In relation to the Deputy's Question, the latest information on the cost and numbers benefiting from 'Allowable Expenses' can be found at http://www.revenue.ie/en/about/statistics/costs-tax-expenditures.pdf.
I am advised by Revenue that due to the nature of the data returned, it is not possible to provide a breakdown of Flat Rate Expenses. The 'Allowable Expenses' figures represent both flat rate (employment) expenses and also un-reimbursed expenses incurred wholly, exclusively and necessarily in the performance of the duties of an office/employment.
The latest full year for which information is available is 2013. Updates for 2014 will be published in due course.
I am further advised by Revenue that the flat rate expense regime has been developed over many years with individual flat rate expenses negotiated with representatives of different categories of workers at their request. During such negotiations, an entitlement to a deduction is first established, i.e. the expense must be wholly, exclusively and necessarily incurred in the performance of the duties of the office or employment, and the amount of the allowable expenses incurred is ascertained.
The agreed deduction may then be applied to all employees of the class or group in question, ensuring that each individual in a particular class or group is granted the same amount. It reduces the need for individual employees to submit claims annually to Revenue thereby reducing costs for both taxpayers and Revenue.
Representative bodies occasionally approach Revenue to seek a review of the flat rate expense applicable to the class or group of employees that they represent. Any such review is focused solely on the expense items applicable to the relevant sector or group of employees.
