Dáil Éireann Debate, Thursday - 10 November 2016
89. Deputy Joan Burton asked the Minister for Finance when he envisages the help-to-buy scheme as proposed under the programme for Government will be launched; the amount the scheme will cost; the level of assistance that will be offered under the scheme; and if he will make a statement on the matter. [34099/16]
View answerSubject to the approval of the Oireachtas of the Finance Bill 2016, potential applicants for the Help to Buy scheme will be able to register online with Revenue from 1 January 2017. It is estimated that the scheme will cost the Exchequer €40 million per annum, but that the cost for 2017 will be €50 million due to the inclusion of the cost associated with the backdating of the incentive to 19 July 2016.
Subject to satisfying the full conditions of the scheme, as set out in the Finance Bill as published, a first time purchaser will be entitled to claim a refund of income tax and DIRT paid over the previous four years. The refund will be subject to a maximum of 5% of the purchase price of a new home, or in the case of a self-build 5% of the approved value of the dwelling, up to a maximum rebate value of €20,000. However, the Deputy will be aware that some elements of the scheme may be amended, during the progress of the Finance Bill through the Oireachtas, so details remain subject to change until the Bill is enacted.
