Michael McGrath
Question:173. Deputy Michael McGrath asked the Minister for Finance the full year cost of reducing the life assurance exit tax from 41% to 39%; and if he will make a statement on the matter. [34205/17]
View answerThursday, 13 July 2017
Questions (173, 174)
Michael McGrath
Question:174. Deputy Michael McGrath asked the Minister for Finance the full year cost of reducing DIRT from 39% to 37%; the cost of reducing the life assurance exit tax from 41% to 37%; and if he will make a statement on the matter. [34206/17]
View answerWritten answers
I propose to take Questions Nos. 173 and 174 together.
I am informed by Revenue that it is estimated the cost of reducing the Life Assurance Exit Tax rate from 41% to 39% and 37% would be in the order of €11 million and €22 million respectively.
As the Deputy is aware, in Budget 2017 I announced that the rate of DIRT will be decreased by two percentage points each year for the next 4 years until it reaches 33 per cent. This will cost €9 million in 2017 and an estimated full year cost of €36 million which will incur in 2020.