Written Answers Nos. 51-60
51. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Justice and Equality if a person (details supplied) can obtain employment on foot of stamp 4, a work permit, or a combination of both; and if she will make a statement on the matter. [12361/16]
View answerI am advised by the Irish Naturalisation and Immigration Service (INIS) of my Department that the person in question was registered in the State as a student from 7th January 2009 to 31st March 2015. Against this background, the person concerned is subject to the student pathway.
The person concerned was informed on 17th May 2016 that they had completed the maximum term permitted for student conditions in the State and that they would not be provided with further permission to remain as a student. They were also informed at that time that they had no entitlement to permission to remain in the State on Stamp 4 conditions.
The person concerned does not have permission to work in the State at the present time. However, should they wish to enter employment in the State, then a prospective employer must first obtain a work permit in respect of them. The issuing of work permits is a matter for the Employment Permits Division of the Department of Jobs, Enterprise and Innovation.
Queries in relation to the status of individual immigration cases may be made directly to INIS by e-mail using the Oireachtas Mail facility which has been established for this purpose. This service enables up to date information on such cases to be obtained without the need to seek information by way of Parliamentary Question process. The Deputy may consider using the e-mail service except in cases where the response from INIS is, in the Deputy's view, inadequate or too long awaited.
52. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Justice and Equality the status of determining eligibility for naturalisation of a person (details supplied) and the person's spouse; and if she will make a statement on the matter. [12362/16]
View answerI am advised by the Irish Naturalisation and Immigration Service (INIS) of my Department that the person named by the Deputy made an application for a certificate of naturalisation in March of this year. The processing of that application is ongoing with a view to establishing whether the conditions for naturalisation, such as good character and lawful residence are satisfied and will be submitted to me for decision as expeditiously as possible. There is no record of an application for a certificate of naturalisation from the spouse of the person named in the Deputy's question.
As the Deputy will appreciate, the granting of Irish citizenship through naturalisation is a privilege and an honour which confers certain rights and entitlements not only within the State but also at European Union level and it is important that appropriate procedures are in place to preserve the integrity of the process.
The Deputy may wish to note that queries in relation to the status of individual immigration cases may be made directly to INIS by e-mail using the Oireachtas Mail facility which has been established specifically for this purpose. This service enables up to date information on such cases to be obtained without the need to seek information by way of the Parliamentary Questions process. The Deputy may consider using the e-mail service except in cases where the response from INIS is, in the Deputy’s view, inadequate or too long awaited.
53. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Justice and Equality the status of an application for residency status by a person (details supplied); and if she will make a statement on the matter. [12383/16]
View answerI am advised by the Irish Naturalisation and Immigration Service (INIS) of my Department that correspondence issued to the person in question on 23 May 2016 granting them temporary permission to remain as an exceptional measure.
Queries in relation to the status of individual immigration cases may be made directly to INIS by e-mail using the Oireachtas Mail facility which has been established for this purpose. This service enables up to date information on such cases to be obtained without the need to seek information by way of Parliamentary Question process. The Deputy may consider using the e-mail service except in cases where the response from INIS is, in the Deputy's view, inadequate or too long awaited.
54. Deputy Clare Daly asked the Tánaiste and Minister for Justice and Equality her views on the provision of adequate Irish Sign Language interpreters in the courts to meet the needs of deaf persons; and if she will make a statement on the matter. [12408/16]
View answerAs the Deputy will be aware, under the provisions of the Courts Service Act 1998, management of the courts is the responsibility of the Courts Service and I have no role in the matter. Section 4(3) of the 1998 Act provides that the Courts Service is independent in the performance of its functions, which includes the provision of information on the courts system.
However, in order to be of assistance to the Deputy, I have had enquiries made and I am informed that every effort is made to source interpreters when required by the Courts. However, this cannot always be guaranteed as sign language interpreting and, in particular, Irish sign language interpreting is a very specialised skill. Despite the best efforts of Courts Service staff, an interpreter may not always be available at short notice and, in these instances, a case may be put back to a later date to allow more time to arrange a sign language interpreter.
55. Deputy Hildegarde Naughton asked the Tánaiste and Minister for Justice and Equality when she will introduce legislation to allow for periodic payments to persons who have received personal injuries awards; and if she will make a statement on the matter. [12444/16]
View answerThe position is that the General Scheme of the Civil Liability (Amendment) Bill 2015, which is designed to meet the recommendations of the High Court Working Group on Medical Negligence and Periodic Payments, was published on 27 May, 2015. Publication of the General Scheme followed on an intensive policy analysis undertaken by my Department in consultation with the Departments of Finance, Public Expenditure and Reform, Health, Jobs, Enterprise and Innovation, the Office of the Attorney General and the State Claims Agency. The aim of the Scheme is to give much-needed financial security to those who have been catastrophically injured and who require life long care and attention and will cover all instances of catastrophic injuries and not just those arising in respect of State defendants.
The Bill will include provisions allowing a court, following consultation with all parties and in the best interests of the plaintiff, to make periodic payment orders for catastrophically injured plaintiffs who require life long care and attention. The periodic payment orders will be index linked and exempt from income tax. In addition, the legislation will provide that a court may not make a Periodic Payments Order unless it is satisfied that the continuity of payment under the Order is secure.
Work is progressing on the drafting of the Bill in the Office of the Parliamentary Counsel and my Department is urgently examining a number of queries and comments on the proposed legislation raised by that office. I fully expect that further progress on the Bill will be made in the coming weeks with a view, subject to Government approval, to Autumn publication.
56. Deputy Hildegarde Naughton asked the Tánaiste and Minister for Justice and Equality when she will ratify the United Nations Convention on the Rights of Persons with Disabilities; and if she will make a statement on the matter. [12445/16]
View answerThe Government has made a commitment in its Programme for a Partnership Government to address a range of legislative barriers with a view to putting the ratification of the Convention on the Rights of Persons with Disabilities before the Oireachtas before the end of 2016. On 21 October 2015, the previous Government published a roadmap for Ireland’s ratification of the Convention which outlines the considerable legislative changes needing to be undertaken, along with the estimated deadline of end-2016 for ratification. We are on track to ratify the Convention by end-2016.
Considerable progress has already been made to overcome barriers to Ireland’s ratification. The Assisted Decision-Making (Capacity) Act 2015 was signed into law on 30 December 2015 and is a comprehensive reform of the law on decision-making capacity. The Criminal Law (Sexual Offences) Bill 2015 was passed by the Seanad on 26 January this year. When enacted, the Bill will reform Section 5 of the Criminal Law (Sexual Offences) Act 1993 to facilitate the full participation in family life of persons with intellectual disabilities and the full expression of their human rights. Achieving the necessary balance between those rights and ensuring appropriate protection is crucial.
Work is also under way on the Equality/Disability (Miscellaneous Provisions) Bill to progress the remaining miscellaneous legislative amendments necessary for ratification. It is intended that the Bill will address issues such as the Convention's requirements in relation to reasonable accommodation and deprivation of liberty, as well as removing archaic and outmoded language in existing legislation. I intend to publish the General Scheme of the Equality/Disability (Miscellaneous Provisions) Bill shortly.
57. Deputy Bernard J. Durkan asked the Tánaiste and Minister for Justice and Equality if she has evaluated the proposals to upgrade the Garda station in Clane in County Kildare, including the extent of the facilities required; if and when she will issue approval; and if she will make a statement on the matter. [12461/16]
View answerThe Deputy will be aware that the programme of replacement and refurbishment of Garda accommodation is progressed by the Garda authorities working in close cooperation with the Office of Public Works, which has the responsibility for the provision and maintenance of Garda accommodation.
I understand that an evaluation of the upgrades required for Clane Garda Station has been completed and it is expected that the Office of Public Works will undertake the necessary work in the current year.
58. Deputy James Browne asked the Minister for Finance his plans to extend stamp duty consanguinity relief to farmers of over 67 years of age; and if he will make a statement on the matter. [12334/16]
View answerConsanguinity relief is a relief which halves the normal stamp duty rate on transfer of non-residential property between certain relatives. The relief was scheduled to expire after 31 December 2014.
The Agri-taxation review supported the retention of a more targeted version of this relief where it facilitates access of land to younger farmers.
Consequently, Finance Act 2014 extended the consanguinity relief for three more years subject to a number of conditions one of which is that between 1 January 2016 and before 1 January 2018, only a conveyance or transfer by a person under 67 years of age can qualify for relief.
In addition, the relative who acquires the land or a person to whom the relative may lease the land for a period of not less than 6 years, must be either a farmer with an agricultural qualification or a farmer who spends not less than 50% of his or her normal working time farming the land on a commercial basis and with a view to the realisation of profits.
Farmers of any age who wished to transfer their land to a close relative had an opportunity to do so before 1 January 2016, and this was flagged in advance.
I have no plans for any further changes to this relief.
59. Deputy Pearse Doherty asked the Minister for Finance the revenue the universal social charge would generate on the basis of no policy change or its phased abolition or reduction (details supplied), in each of the years from 2017 to 2021, in tabular form. [12256/16]
View answer79. Deputy Pearse Doherty asked the Minister for Finance the cost of a phased reduction (details supplied) of the universal social charge for each of the years from 2017 to 2021, in tabular form. [12448/16]
View answerI propose to take Questions Nos. 59 and 79 together.
The following table sets out the broad projected revenues that will be generated by the Universal Social Charge (USC) for each of the next five years. It should be noted that figures are provided on a no policy change basis, with the figures providing for the indexation of USC thresholds and bands. In addition, it should be noted that for 2017, Exchequer USC receipts are impacted by the carryover effect of Budget 2016 changes and timing effects.
|
Forecast for USC |
€ Billion* |
|
2017 |
c. €3.8 |
|
2018 |
c. €4.5 |
|
2019 |
c. €4.5 |
|
2020 |
c. €4.7 |
|
2021 |
c. €4.9 |
*Exchequer receipts basis
I am advised by the Revenue Commissioners that the following tables set out in detail the estimated cost to the Exchequer of the Universal Social Charge (USC) measures suggested by the Deputy.
These estimated costs do not take into account any change to the USC exemption threshold of €13,000 as set out in Budget 2016. It should also be noted that while the proposal is set over a five year period, the cost to the Exchequer is realised over a six year timeframe.
In the case of measures reducing or abolishing the lower rates of USC, the costs are estimated on the basis of reducing or abolishing the relevant rates for all income earners, including those also paying higher rates of USC.
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 as is standard notwithstanding that the costings requested refer to the next five years. They are provisional and may be revised.
First Question Option 1
|
Measure |
Full Cost of Measure €M |
Year 1 €M |
Year 2 €M |
Year 3 €M |
Year 4 €M |
Year 5 €M |
Year 6 €M |
|
Reduce 1% USC rate on income up to €12,012 to 0.5% |
-118 |
-86 |
-32 |
||||
|
Abolish 0.5% USC rate on income up to €12,012 |
-118 |
-86 |
-32 |
||||
|
Reduce 3% USC rate on income up to €18,668 to €1.5% |
-222 |
-163 |
-59 |
||||
|
Abolish 1.5% USC rate on income up to €18,668 |
-222 |
-163 |
-59 |
||||
|
Raise entry point to 5.5% USC rate from €18,668 to €19,572 and abolish 5.5% rate between €18,668 and €19,572 |
-72 |
-53 |
-19 |
||||
|
Total |
|
-86 |
-118 |
-195 |
-222 |
-112 |
-19 |
First Question Option 2
|
Measure |
Full Cost of Measure €M |
Year 1 €M |
Year 2 €M |
Year 3 €M |
Year 4 €M |
|
Abolish 1% USC rate on income up to €12,012 |
-237 |
-173 |
-64 |
||
|
Reduce 3% USC rate on income up to €18,668 to €1.5% |
-222 |
-163 |
-59 |
||
|
Abolish 1.5% USC rate on income up to €18,668 and raise entry point to 5.5% USC rate from €18,668 to €19,572 and abolish 5.5% rate between €18,668 and €19,572 |
-294 |
-215 |
-79 |
||
|
Total |
-173 |
-227 |
-274 |
-79 |
Second Question Option 1
|
Measure |
Full Cost of Measure €M |
Year 1 €M |
Year 2 €M |
Year 3 €M |
Year 4 €M |
Year 5 €M |
Year 6 €M |
|
Abolish 1% USC rate on income up to €12,012 |
-237 |
-173 |
-64 |
|
|
|
|
|
Abolish 3% USC rate on income up to €18,668 |
-444 |
|
-326 |
-118 |
|
|
|
|
Reduce 5.5% USC rate on income up to €70,044 to 3% |
-870 |
|
|
-631 |
-239 |
|
|
|
Abolish 3% (as actioned in year 3) USC rate on income up to €70,044 |
-1,044 |
|
|
|
-758 |
-286 |
|
|
Raise entry point to top USC rate from €70,044 to €80,044, and abolish 5.5% rate between €70,044 and €80,044) |
-148 |
|
|
|
|
-99 |
-49 |
|
Total |
|
-173 |
-390 |
-749 |
-997 |
-385 |
-49 |
Second Question Option 2
|
Measure |
Full Cost of Measure €M |
Year 1 €M |
Year 2 €M |
Year 3 €M |
Year 4 €M |
Year 5 €M |
Year 6 €M |
|
Abolish 1% USC rate on income up to €12,012 |
-237 |
-173 |
-64 |
|
|
|
|
|
Abolish 3% USC rate on income up to €18,668 |
-444 |
|
-326 |
-118 |
|
|
|
|
Reduce 5.5% USC rate on income up to €70,044 to 3% |
-870 |
|
|
-631 |
-239 |
|
|
|
Abolish 3% (as actioned in year 3) USC rate on income up to €70,044 |
-1,044 |
|
|
|
-758 |
-286 |
|
|
Abolish 8% USC rate on income over €70,044 & abolish 11% self employed rate on income over €100,000 |
-1,108 |
|
|
|
|
-634 |
-474 |
|
Total |
|
-173 |
-390 |
-749 |
-997 |
-920 |
-474 |
60. Deputy Pearse Doherty asked the Minister for Finance his views on assertions in the European Commission’s 2016 country report on Ireland that our tax revenue to gross domestic product ratio is low compared with the European Union average and is marginally decreasing, that tax cuts provided in the 2016 budget are likely to reduce further this ratio and that although Ireland's tax system is highly progressive overall recent measures on personal income tax are regressive; how he will address these concerns; and if he will make a statement on the matter. [12257/16]
View answerThe European Commission's 2016 Country Report makes a range of comments in regard to the Irish tax system including those highlighted by the Deputy. In addition, the accompanying Country Specific Recommendations for Ireland include a number of recommendations concerning the Irish tax system.
With regard to the ratio of tax revenue to Gross Domestic Product (GDP), on this measure, Ireland has a relatively low tax burden by European standards according to the latest data. In 2014 total taxes amounted to 30.5% of GDP compared to the EU-28 average of 37.1%. However, given the exceptional gap between GDP and Gross National Product (GNP) in Ireland, the Irish Fiscal Advisory Council (IFAC) have argued that a more appropriate measure of fiscal capacity is a hybrid measure taking GNP plus 40 per cent of the gap between GDP and GNP. On this basis, the tax take share rises to 33.2%.
If social security contributions (SSC) are excluded from the comparison (given the stronger insurance character of these systems in other EU countries compared with Ireland), the tax take at 24.7% of GDP is marginally below the EU-28 average of 25.6%. As a percentage of the IFAC measure this rises above the EU average to 26.9%.
The April 2016 Stability Programme Update indicates that the tax burden is forecast to fall to 28% of GDP in 2016 from 29.2% of GDP in 2015. Comparing 2015 and 2016, the reduction in the tax to GDP ratio can be primarily attributed to the growth in nominal GDP from €214,625 million to €230,950 million rather than the change in tax revenue from €62,675 million to €64,650 million.
The progressivity of the tax system should be looked at in conjunction with other elements such as welfare and public expenditure which in combination give a more comprehensive picture. Although this is more difficult to do, the ESRI's Social Welfare and Income Tax Changes (SWITCH) model captures the main changes in the income tax and welfare system on equivalised household disposable incomes. The Social Impact Assessment (SIA) of Budget 2016, published by the Department of Social Protection and contributed to by my Department used this approach. It showed that the greatest percentage gains in household income were for the second income quintile at 2 per cent, followed by the first quintile (the bottom 20% of households by income) at 1.8 per cent. The 3rd, 4th and 5th quintiles gain just below the average, at around 1.5 per cent.
However, this SWITCH analysis is a static analysis. Separately SWITCH calculates Marginal Effective Tax Rates (METRs) which measure what part of any additional earnings are "taxed away" through the combined effect of increasing tax and decreasing benefit. The Social Impact Assessment found that over three quarters of people employed are estimated to experience a reduction in their METR as a result of Budget 2016. To the extent that individuals take up employment as a result of reduced METRs they would be better off than the distributional analysis indicates.
The Irish income tax system remains highly progressive. The most recent data from the Organisation for Economic Cooperation and Development's (OECD) for 2015 shows Ireland has the most progressive income tax system of the EU members of the OECD and is the second most progressive of all members of the OECD.
Finally, it should be noted that the elements of the Commission's 2016 Country Report highlighted by the Deputy did not feature in the Country Specific Recommendation for Ireland. These emphasised the importance of an efficient and growth friendly tax system as well as broadening the tax base as the most important issues for the Irish tax system.
