The Deputy will recall that the Cycle to Work scheme came into operation on 1 January 2009 and is primarily an environmental measure. It was introduced on to help lower carbon emissions, reduce traffic congestion, and encourage more employees to cycle to work and help improve health and fitness levels.
The employer makes the initial purchase and then recoups this amount through a salary sacrifice. A benefit-in-kind tax exemption applies and the employee will not pay tax, PRSI or income levies on the remuneration sacrificed. This approach was taken to keep the scheme simple for employers and employees alike.
Under the scheme my Department has purchased bicycles and equipment and has made arrangements to recoup initial expenditure by way of salary sacrifice. Accordingly, there is an up-front cost until such time as those are offset by the gradual deduction from salary over a 12 month period. The purchase of bikes and safety equipment is subject to normal Revenue audit procedures.
The details requested are set out in the following table.
Cycle to Work Amounts by Year
Request Year
|
No. of Applications
|
Initial Cost - repaid by employee
|
2009
|
83
|
€57,501.86
|
2010
|
112
|
€82,526.53
|
2011
|
108
|
€80,599.68
|
2012
|
89
|
€68,236.92
|
2013
|
64
|
€60,179.87
|
2014
|
70
|
€57,226.63
|
2015
|
76
|
€62,820.73
|
2016
|
72
|
€58,011.58
|
2017
|
64
|
€51,048.41
|
2018
|
67
|
€58,473.84
|
2019
|
70
|
€57,658.51
|
2020
|
27
|
€22,566.95
|
Total
|
902
|
€716,851.51
|