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Tuesday, 4 Jul 2017

Written Answers Nos 74-93

International Bodies Membership

Questions (74, 75)

James Lawless

Question:

74. Deputy James Lawless asked the Tánaiste and Minister for Jobs, Enterprise and Innovation if she is considering advancing Ireland's efforts to join CERN; and if she will make a statement on the matter. [31261/17]

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James Lawless

Question:

75. Deputy James Lawless asked the Tánaiste and Minister for Jobs, Enterprise and Innovation the levels of engagement between her Department and the governing bodies of CERN. [31262/17]

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Written answers

I propose to take Questions Nos. 74 and 75 together. Innovation 2020, the national strategy for research and innovation, which was launched in December 2015, recognised that membership of International Research Organisations (IRO) is an important, strategic aspect of Ireland’s international collaboration in science, technology and innovation. Such engagement is a prerequisite for Ireland to become a global innovation leader.

Ireland is a long-standing member of the European Space Agency, the European Molecular Biology Laboratory, the European Molecular Biology Conference, EUREKA, COST and CECAM. As part of the ongoing implementation of Innovation 2020, Ireland joined ELIXIR, the European data infrastructure for the life sciences, in July 2016 and Ireland will join the International LOFAR Telescope, the European radio astronomy collaboration, in July 2017.

Innovation 2020 contains an action to initiate negotiations with CERN on Ireland's membership options.

In January 2016 the then Minister for Skills, Research and Innovation, Damien English T.D, wrote to the President of the CERN Council, Professor Sijbrand de Jong, in order to commence the process. Discussions between my department and CERN have been ongoing, at both official and Ministerial level, ever since.

Senior officials from my department, Enterprise Ireland and Science Foundation Ireland visited CERN in July 2016. The Director-General of CERN, Dr Fabiola Gianotti, visited Dublin in October 2016 and met with my predecessor as Minister for Enterprise and Innovation, Mary Mitchell O’Connor.

The information gathered during these engagements has provided my officials with a comprehensive understanding of the potential benefits of membership of CERN. However, while the potential benefits of membership of CERN are significant, the cost of membership is also significant.

The cost for Ireland to become a full member of CERN would be approximately €15 million per annum. Alternatively, Ireland could become an Associate Member for 10% of this of cost (€1.5 million per annum). However for Associate Membership, there would be a commensurate reduction in the benefits available, for example, access to contracts for enterprise.

The case for membership of CERN is being assessed in the context of other investment priorities and no conclusion can be reached before the national budget discussions for 2018 are concluded. My objective is to ensure that we obtain the best overall return on our investment in research and innovation.

Additionally, the case for membership of CERN has been considered in the overall context of the Mid-Term Review of the Capital Plan, which covers the period 2018-2021. The Mid-Term Review will be completed before the end of 2017 at which point I expect to be in a position to make a recommendation regarding Ireland's membership of CERN.

In the event of a positive assessment and recommendation, a Government decision would be required in order to progress membership of CERN.

Brexit Data

Questions (76)

Joan Burton

Question:

76. Deputy Joan Burton asked the Tánaiste and Minister for Jobs, Enterprise and Innovation if there is a senior official with designated responsibility for Brexit matters in her Department; if so, the grade of the designated official; the funding allocated to the said Brexit unit; the cost to date in 2017; the anticipated cost; and if she will make a statement on the matter. [31276/17]

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Written answers

The work of very many Business Units is impacted by Brexit and the Department as a whole has prioritised the Brexit challenges in its work plans for 2017 across all its Divisions.

A dedicated Brexit Unit was established in 2016 and is led at Assistant Secretary level within the EU Affairs, Trade Policy and Safety and Chemicals Policy Division, to coordinate and represent the Departmental and Agencies response to Brexit and to support me in my position at the Cabinet Committee on Brexit. The designated official, at Assistant Secretary level, is supported by 1 Principal, 2 Assistant Principals, 1 Higher Executive Officer and 1 Clerical Officer.  Additional staffing resources are being recruited to support the Brexit Unit, and other areas of the Department impacted by Brexit in the immediate period ahead, on foot of a recently completed workforce planning exercise for the Department in respect of the period 2017-2019.

The full year salary costs for the Brexit Unit, including the additional staffing resources to be recruited, is estimated at approximately €570,000. In addition to this, funding is available to undertake appropriate research, and in light of the substantial programme of visits ongoing and planned at Ministerial and Official level to other capital cities as part of our outreach to our European partners, there will be associated travel and subsistence costs.

Census of Population Data

Questions (77)

Catherine Murphy

Question:

77. Deputy Catherine Murphy asked the Tánaiste and Minister for Jobs, Enterprise and Innovation further to the publication of the census of population, the consideration which is given to the detail contained in the census in terms of policy response by her Department; the way in which it is used; and if she will make a statement on the matter. [31403/17]

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Written answers

The Census of Population is an important input to evidence-based policy analysis and advice in my Department, as it is across Government. My central focus is on ensuring we create the best environment to secure sustainable full employment and to deliver on the Programme for a Partnership Government commitment to support an additional 200,000 at work by 2020. The Census data complements other essential CSO datasets relating to the labour market development in particular and the data collected by my own Department through its surveys of enterprises. These surveys include my Department's Annual Employment Survey and Annual Business Survey of Economic Impact of enterprises supported by Enterprise Ireland and IDA Ireland, and the Higher Education R&D (HERD) survey and the Annual Science Budget.

Over the coming months the Census data will form an input to the review of Enterprise 2025 currently underway in my Department. The Census will also be an important input to the development of the annual Action plan for Jobs, our monitoring of the Regional Action Plans for Jobs and an input to the work of the Expert Group on Future Skills Needs, to which my Department provides research and secretariat support. The Low Pay Commission also relies heavily on data produced by the CSO, including census data and reports, in making its annual recommendation on the national minimum wage and other related matters.

IDA Ireland Data

Questions (78)

Maurice Quinlivan

Question:

78. Deputy Maurice Quinlivan asked the Tánaiste and Minister for Jobs, Enterprise and Innovation the number of new companies that the IDA has supported to locate in County Donegal; and the jobs created by these companies in each of the years 2002 to 2016, and to date in 2017, in tabular form. [31427/17]

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Written answers

IDA Ireland’s official employment figures are drawn from an employment survey conducted by my Department on an annual basis. The table provides a breakdown of the total number of IDA Ireland supported companies in Co. Donegal from 2002 to 2016. Data for 2017 will not be available until early next year.

Total number of IDA supported companies in Co. Donegal & total number of jobs including new jobs created from 2002 to 2016.

IDA Co.s Donegal

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

2014

2015

2016

Number of Cos

14

14

14

14

15

14

14

14

12

12

13

13

13

13

13

Total Jobs

2,873

2,494

2,473

2,395

1,690

1,768

1,764

1,817

1,847

2,101

2,223

2,382

2,607

2,918

3,039

Jobs Created

177

154

167

286

139

185

61

98

281

277

164

183

247

330

145

Number of New Cos

1

0

0

1

2

1

0

0

0

0

1

1

0

0

0

Job Initiatives

Questions (79)

Mattie McGrath

Question:

79. Deputy Mattie McGrath asked the Tánaiste and Minister for Jobs, Enterprise and Innovation her plans to address the high levels employment deprivation in County Tipperary, specifically in areas of the north of the county; and if she will make a statement on the matter. [31432/17]

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Written answers

The Regional Action Plans for Jobs are aimed at maximising the strengths and assets of each region, to support enterprise growth and job creation.

The key strength of the stakeholders like the Local Authorities, the educational bodies, the Enterprise Development Agencies and the private sector all working collaboratively to maximise opportunities, means that every county will benefit under this initiative.

Tipperary is covered by both the South East Action Plan for Jobs and the Mid-West Action Plan for Jobs. I am committed to working with the various agencies and stakeholders in the South East and Mid West, through the Regional APJ Implementation Committees, to ensure that the positive employment trends we have been seeing across all regions continue and that more jobs are ultimately created.

Numbers in employment in the Mid West region have increased by 9,300 since Q1 2015, when the Regional Action Plan project was launched. The unemployment rate has declined from 10.2% to 6.8%. In the South East, 12,400 more people are in employment and the unemployment rate has decreased from 12.8% to 9.3% over the same period.

Tipperary is now home to 12 existing IDA Ireland clients who between them employ almost 3,370 people. In 2016, Enterprise Ireland-supported companies in Tipperary employed 5,352 people, a net gain on 290 on 2015. Client companies supported by the Tipperary Local Enterprise Office created 436 gross new jobs in 2016. Total employment among LEO Tipperary clients was 1,437 at the end of last year.

To further support enterprise development in all areas of the country my Department is providing additional funds through the agencies out to 2020. Additional funding of up to €60m is being rolled out by Enterprise Ireland over the next 4 years to support the development and implementation of collaborative and innovative projects that can sustain and add to employment at a national, regional and county level. In addition, funding of €150m is being made available to the IDA to support its Regional Property Programme and drive job creation in the multi-national sector.

Departmental Staff Data

Questions (80)

Éamon Ó Cuív

Question:

80. Deputy Éamon Ó Cuív asked the Tánaiste and Minister for Jobs, Enterprise and Innovation the number of civil servants in her Department that have requested a transfer to a location outside County Dublin; the number of civil servants in her Department that have requested transfer from a location outside of Dublin into County Dublin; and if she will make a statement on the matter. [31780/17]

View answer

Written answers

The number of my Department’s staff who currently have an application with the Department’s HR Unit for a transfer to offices outside the Dublin region to date is set out in the table.  This includes staff seeking to move from one of my Department’s regional locations to another.  Staff may apply for several locations at a time.

Location

Current number of staff requesting a transfer to a location outside of County Dublin

Carlow

7

Kilkenny

4

Cork

1

Tipperary

4

Wexford

1

Laois

5

Kildare

1

Donegal

1

Wicklow

1

Kerry

1

Total

26

There are currently no applications with the Department’s HR Unit for staff requesting a transfer from a location outside of Dublin into County Dublin. 

Brexit Negotiations

Questions (81)

Thomas Byrne

Question:

81. Deputy Thomas Byrne asked the Minister for Finance his plans to avoid a hard border as a result of Brexit which would create an obstacle to ease of travel and business to Northern Ireland. [30567/17]

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Written answers

The Government’s position in relation to the border with Northern Ireland in the context of Brexit is very clear.  Continued freedom of movement, absence of an economic border, and protection of the Good Friday Agreement are key objectives for the Irish Government. The arrangements that will apply after Brexit will depend on the outcome of negotiations between the EU and UK.   The Government is clear that any manifestation of an economic border would have very negative consequences.  A key priority is to ensure the continued free flow of trade on the island and the need to avoid a hard border. Clearly in this regard the closer the trading relationship between the UK and EU is more generally the better.

I would point out that the guidelines for the EU 27 Article 50 negotiation framework specifically refer to the need to support and protect the achievements, benefits and commitments of the Peace Process.  In this regard the guidelines recognise the unique circumstances on the island of Ireland, outlining the need for flexible and imaginative solutions, including the aim of avoiding an economic border, while respecting the integrity of the Union legal order.

The Government has welcomed the EU’s negotiating guidelines as reflecting Ireland’s unique concerns and priorities. They express the EU’s continued support for the Peace Process and the need to protect the Good Friday Agreement. They acknowledge the need for flexible and imaginative solutions to avoid an economic border on the island of Ireland. They agree to the recognition of existing bilateral agreements and arrangements between the UK and Ireland, which are compatible with EU law, such as the Common Travel Area.  It is clear, however that the withdrawal of a Member State from the Union is a situation without any precedent, in either political or practical terms. That said we are looking at other border situations which may offer possible guidance on how we address the unique situation found on the island of Ireland.

Property Tax Assessments

Questions (82)

Fiona O'Loughlin

Question:

82. Deputy Fiona O'Loughlin asked the Minister for Finance if he will review the case of a person (details supplied); and if he will make a statement on the matter. [30794/17]

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Written answers

Local Property Tax (LPT) is a self-assessed tax, which places the onus on the property owner to calculate the tax due based on his/her calculation of the market value of the property.

A property owner who subsequently considers the 2013 self-assessed valuation to be too high can apply directly to Revenue’s LPT Branch to have it amended downwards. The application must include supporting evidence setting out why the original valuation is thought to be excessive. The supporting evidence should include;

- copy of a professional valuation at 1 May 2013 or,

- information on property sales for comparable properties in the local area around 1 May 2013, for example from the Residential Property Price Register at www.propertypriceregister.ie or,

- details of advertised house prices for comparable properties in the area around 1 May 2013, for example from www.daft.ie or www.myhome.ie or,

- documented information on any house prices survey in the area reflecting values around 1 May 2013.

The person in question filed the statutory LPT return in 2013 confirming the value of the property to be in Valuation Band 4.

Revenue has advised me that the LPT team recently made direct contact with the person in question and advised them on the type of documentary evidence needed in support of a reduction in valuation. The documentary evidence has since been received on foot of which the valuation has been reduced to Valuation Band 2. The person has been advised of the reduction and is now considering their payment options in regard to the reduced liability.

Budget Submissions

Questions (83)

Joan Burton

Question:

83. Deputy Joan Burton asked the Minister for Finance if his attention has been drawn to a charity's (details supplied) 2018 pre-budget submission proposal to link tax incentives for landlords to conditionality such as greater as security of tenure, longer tenancy agreements and higher quality of accommodation; if he has investigated same; and if he will make a statement on the matter. [31134/17]

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Written answers

My Department has received the charity’s pre-budget submission, which includes, as one of six housing-related recommendations, a proposal to link tax incentives for landlords to conditions such as greater security of tenure, longer tenancy agreements and higher quality of accommodation. This proposal will be considered as part of my deliberations for Budget 2018.

As the Deputy may be aware, a working group was established in early 2017 to examine and report on the tax treatment of landlords (or rental accommodation providers) and to put forward options, where appropriate, for amendments to such treatment. This working group was established as part of the ‘Strategy for the Rental Sector’ which was published by the Department of Housing, Planning, Community and Local Government in December 2016. The working group is chaired by the Department of Finance and its membership consists of officials from the Department of Finance; the Revenue Commissioners; the Department of Housing, Planning, Community and Local Government; and the Residential Tenancies Board. As part of the group’s work, a public consultation lasting for four weeks was conducted from March to April 2017 which received almost 70 written submissions from a wide range of interested parties, including individual landlords, representative bodies and charitable organisations.

The report of the working group is due to be presented to me by the end of July 2017, to allow for consideration of any of the options put forward, as part of my deliberations for Budget 2018.

The Deputy may also be aware that in order to improve the stability of housing supply to tenants in receipt of social housing supports a new relief was introduced in Finance Act 2015. The relief allows a full 100% mortgage interest deduction against rental income (increased from 75% in 2016 and from 80% in 2017) where a landlord undertakes, for a period of at least three years, to provide accommodation to such tenants and registers such undertakings with the Residential Tenancies Board within certain time limits. Further information on this relief is available in section 97 of the Revenue Commissioners – Notes for Guidance – Taxes Consolidation Act 1997 – Finance Act 2015 Edition – Part 4 Principal Provisions Relating to the Schedule D charge, which is available at:  http://www.revenue.ie/ga/tax-professionals/documents/notes-for-guidance/tca/part04.pdf

Disabled Drivers and Passengers Scheme

Questions (84)

John Brassil

Question:

84. Deputy John Brassil asked the Minister for Finance if exceptions are made in respect of appearing in front of the board in hearing an appeals case in the case of appeals to the disabled drivers medical board of appeals; if a case can be reviewed via written evidence and correspondence; the circumstances in which this can occur; and if he will make a statement on the matter. [31251/17]

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Written answers

As the Deputy is aware, a Primary Medical Certificate is required to claim the tax reliefs provided under the Disabled Drivers and Disabled Passengers (Tax Concessions) Scheme.  The Senior Medical Officer for the relevant local Health Service Executive administrative area makes a professional clinical determination as to whether an individual applicant satisfies the medical criteria to receive a Primary Medical Certificate. An unsuccessful applicant can appeal the decision of the Senior Medical Officer to the Disabled Drivers Medical Board of Appeal (DDMBA), which makes a new clinical determination in respect of the individual.

Hearings of the DDMBA are held on average twice a month at the National Rehabilitation Hospital in Dun Laoghaire, which has the facilities to cater for people with mobility impairing disabilities of the kind provided for under the Disabled Drivers and Disabled Passengers Scheme. It is not possible to review a case via written evidence and correspondence as a physical examination of the person would be required.

The Medical Board of Appeal holds regional clinics as demand arises. I'm informed that one clinic per year, for the past five years, has been held in Cork City.

State Banking Sector

Questions (85)

Thomas P. Broughan

Question:

85. Deputy Thomas P. Broughan asked the Minister for Finance if he will ensure that the reported €3.4 billion to be realised from the sale of shares in a bank (details supplied) will be spent on critically needed social housing, transport and water infrastructure and on measures to lessen the negative impacts of Brexit; if he and An Taoiseach have raised this with the EU Commission and Council; and if he will make a statement on the matter. [30813/17]

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Written answers

The sale of shares in AIB held by the Ireland Strategic Investment Fund does not result in a beneficial impact to the General Government Balance under the European System of Accounts 2010.  This is due to the fact that it is classified as a 'financial transaction' whereby it is essentially the exchange of one form of asset (shares, equities, loans) for another kind (cash). Consequently the sale of any shareholding in AIB does not count as general government revenue. Thus there will not be an increased capacity to spend on capital projects as a result of the sale of shares in AIB without affecting the general government balance.

While not improving the deficit, the cash proceeds arising from the sale of AIB shares, which have been transferred to the Exchequer, reduce the Exchequer borrowing requirement and result in lower general government net debt initially and gross debt in time. A lower level of debt is not only beneficial in terms of the fiscal sustainability of the State but will also result in reduced interest payments in future years. The strategy of reducing the national debt is consistent with the Government policy of repaying the borrowing previously undertaken to finance the recapitalisation of the banking sector during the financial crisis.  As previously stated, it the Government's position that the proceeds from the sale of the State's shareholdings in Irish banks, including AIB, will be used to reduce the outstanding level of public debt.   

I have previously acknowledged the need for increased public investment. The current Capital Plan sets a baseline from which this Government intends to increase investment in critical infrastructure, and in areas such as housing and health, as the Deputy has identified into the future. As outlined in the 2017 Estimates, gross voted capital expenditure will increase to €4.5 billion in 2017. This represents an increase of €325 million in comparison to the 2016 outturn. By 2021 it is envisaged that Gross Voted Capital Expenditure will reach €7.3 billion, an increase of over 100 per cent in comparison to its level in 2014.  These increases in investment over the coming years will be allocated to identified priorities on the basis of the outcome of the review of the Capital Plan currently under way.

I would also point out that it is not just because of the fiscal rules that the Government is using the proceeds to reduce debt - as the Taoiseach has stated, it is the right thing to do. 

Finally, it should be further noted that the SGP also includes flexibilities that are designed to promote capital investment. For instance, within the expenditure benchmark, capital formation increases are smoothed over four years with the result that only one quarter of the increase in public investment must be funded in the first year from within the fiscal space. This provision, which means increases in capital spending for housing and other purposes can be front-loaded within the EU rules, has been utilised in Ireland's budgetary plans.  With regard to Brexit and other external risks to the outlook, the best way to deal with such risks is through competitiveness oriented policies and prudent management of the public finances. That is what this Government will continue to do.

Banking Sector Data

Questions (86)

Pearse Doherty

Question:

86. Deputy Pearse Doherty asked the Minister for Finance the name of the legal advisers, solicitors and barristers employed by a bank (details supplied) in respect of its appeal of a Financial Services Ombudsman ruling which was eventually withdrawn; the fees paid to each; and if he will make a statement on the matter. [30835/17]

View answer

Written answers

The information requested by the Deputy is not held in the Department of Finance. Officials have referred the question to the bank and have received the following response:

"Permanent TSB has a requirement for legal support and advice on an ongoing basis across different parts of its business.  It manages some of this requirement through its in-house legal function, as well as engaging external solicitors and barristers where necessary.  Except where required by law or regulation, and in line with how it manages its relationships with its other third party advisors, the bank does not disclose the identity of such firms or individuals engaged to work with the bank on specific issues or the terms of such work as this information is deemed commercially sensitive."

Tracker Mortgages Examination Data

Questions (87)

Pearse Doherty

Question:

87. Deputy Pearse Doherty asked the Minister for Finance the fees paid to date by each bank and the Central Bank for services related to the tracker mortgage investigation, by service provider and bank; and if he will make a statement on the matter. [30836/17]

View answer

Written answers

As the Deputy will be aware, the Tracker Mortgage Examination Framework requires lenders to appoint an external independent party to oversee the conduct of their Examination. However, the Central Bank has advised that it is a matter for individual firms to disclose these and any other costs incurred by them in respect of the Tracker Mortgage Examination.

In respect of the Central Bank, the Bank has advised that in order to supplement its resources it has appointed a panel of experts to provide professional expertise to support its assurance work at critical points in the Examination.

Firms were appointed by way of "call off" contracts under an existing Professional Services Framework Agreement. "Call off" contracts were awarded to: Ernst & Young, Grant Thornton and Oliver Wyman. As the assurance work on the Examination is ongoing and at different stages with lenders, the Bank is not in a position to provide costs at this point. However, the Bank will publish an aggregate figure (due to statutory confidentiality requirements, the Central Bank can, generally speaking, only disclose information in relation supervisory work in summary or aggregate form so that individual firms cannot be identified) for its third party professional services costs at the conclusion of the Tracker Examination. In addition, as signalled by Governor Philip Lane at the meeting of the Joint Oireachtas Committee on Finance, Public Expenditure and Reform, and Taoiseach on 4 April 2017, these costs will be charged back to the firms.

Tax Data

Questions (88, 89, 90, 91)

Michael McGrath

Question:

88. Deputy Michael McGrath asked the Minister for Finance the number of approved retirement funds here in each of the years 2011 to 2016; and if he will make a statement on the matter. [30866/17]

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Michael McGrath

Question:

89. Deputy Michael McGrath asked the Minister for Finance the tax yield from approved retirement funds in each of the years 2011 to 2016; and if he will make a statement on the matter. [30867/17]

View answer

Michael McGrath

Question:

90. Deputy Michael McGrath asked the Minister for Finance the number of cases in which life assurance exit tax was applied in each of the years 2011 to 2016; and if he will make a statement on the matter. [30868/17]

View answer

Michael McGrath

Question:

91. Deputy Michael McGrath asked the Minister for Finance the number of life policies to which the 1% levy was applied in each of the years 2011 to 2016; and if he will make a statement on the matter. [30869/17]

View answer

Written answers

I propose to take Questions Nos. 88 to 91, inclusive, together.

As regards Questions 88 and 89, Approved Retirement Funds (ARFs) are investment vehicles into which the proceeds of the pension savings of the self-employed, business owners and any individual with Defined Contribution pension arrangements may be invested at retirement, subject to conditions. Beneficial ownership of the assets in an ARF vests in the individual owner of the ARF and, among other conditions, the ARF must be managed by a Qualifying Fund Manager. The ARF option is an alternative to annuity purchase and essentially gives control over post-retirement income to those individuals who, generally, have borne the investment risk on their funds in the pension growth phase.

I am informed by Revenue that, as –

- there is no requirement in tax law on Qualifying Fund Managers to provide data of the kind requested in respect of approved retirement funds,

- there is no requirement in tax law on life assurance companies to provide information to Revenue in respect the number of cases on which Life Assurance Exit Tax (LAET) was applied, and

- there is no requirement in tax law for life companies to provide details of the number of policies subject to the 1% levy,

I am not in a position to provide the information requested.

Tax Collection

Questions (92)

Michael McGrath

Question:

92. Deputy Michael McGrath asked the Minister for Finance the rationale for requiring life assurance policy holders to prepay part of their final tax liability by means of an anniversary tax every eight years; and if he will make a statement on the matter. [30870/17]

View answer

Written answers

I am advised by Revenue that under what is termed as “new basis” business, all life assurance policy holders are taxed on a gross roll-up basis.  This means that the life assurance company is not subject to tax on its policy holder profits, but rather the policy holder is subject to exit tax on the happening of a chargeable event.  A chargeable event will occur:

- on the maturity of the life policy;

- on the surrender in whole or in part of the rights conferred by the life policy;

- on the assignment in whole or in part of the life policy;

- on the ending of an eight year period beginning with the inception of the life policy and each subsequent eight year period beginning when the previous one ends.

This gross roll-up regime was first introduced in Finance Act 2000 to allow investment in such life policies to grow without the imposition of tax.  The 8 year deemed disposal ensures that exit tax cannot be deferred indefinitely by the continual rolling over of a life assurance policy without it becoming chargeable to tax.

On maturity, full surrender or assignment of the life assurance policy following an eight year event, the tax paid on the deemed disposal is available for offset in the calculation of the final tax liability.

Help-To-Buy Scheme Data

Questions (93)

Barry Cowen

Question:

93. Deputy Barry Cowen asked the Minister for Finance the cost of the help-to-buy initiative; the number of households that have availed of it; the average and the median value of the grant given to each household; and the number of recipients in each county. [30947/17]

View answer

Written answers

The Help to Buy incentive aims to both assist those first-time buyers struggling to save for the deposit required to purchase a home, as well as incentivising additional construction activity for the provision of extra housing supply. At Budget time it was estimated that the Help to Buy incentive would cost €40 million per annum but €50 million in 2017 due to the backdating of the relief in respect of properties which became eligible for the scheme since 19 July 2016.

Revenue publishes regular updates on the HTB scheme on its website. The most recent update to 29 June 2017 in respect of applications, both approved and pending, and claims made can be found at http://www.revenue.ie/en/corporate/information-about-revenue/statistics/tax-expenditures/htb.aspx

As of Thursday 29 June 2017 the value of HTB refunds verified and paid was €28.1 million, including €12.1 million in respect of retrospective claims (home purchases and self-builds in the period 19 July to 31 December 2016).

The number of applications received for the HTB scheme was 7,787, of which 5,038 have been approved. Some 2,519 claims have been made, of which 1,930 have been verified and paid. The average value of claims is €14,560. The median value of claims is €14,625.

The number of recipients by county is set out in Table 7 of Revenue’s published statistics.

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