Written Answers Nos. 164-183
164. Deputy David Stanton asked the Minister for Finance the position with regard to an application for a refund of PRSI and USC reliefs by a person (details supplied); and if he will make a statement on the matter. [47279/21]
View answerI am advised by Revenue that the person in question is registered as a self-assessed taxpayer and was also in receipt of PAYE income in 2018. Following a review of the person’s overall tax position for that year, Revenue is satisfied that he received Illness Benefit payments from the Department of Social Protection. The benefit payments were correctly liable to tax but not to the Universal Social Charge.
Revenue has informed me that it will contact the taxpayer directly to confirm the position.
165. Deputy Robert Troy asked the Minister for Finance if he will consider extending the help-to-buy scheme for first-time buyers to 2022. [47334/21]
View answerHelp-to-Buy (HTB) is a scheme to assist first-time purchasers with the deposit they need to buy or build a new house or apartment. The incentive gives a refund of Income Tax and Deposit Interest Retention Tax paid in the State over the previous four years, subject to limits outlined in the legislation. Section 477C of the Taxes Consolidation Act 1997 outlines the definitions and conditions that apply to the scheme. Another main aim of the policy underpinning the design of scheme is to help encourage the building of additional new properties.
Following a commitment in the Housing for All strategy, my Department carried out a review of the scheme as part of its Tax Strategy Group deliberations. The resultant paper entitled "Income Tax (Incorporating a Review of the Help-to-Buy Scheme)" was published and is available on the Government website.
The paper lays out several possible options as regards the future of the measure, including:
- allowing the scheme to expire,
- extending the current 'enhanced' scheme for a further period,
- extending the 'original' pre-July 2020 scheme for a further period, and
- extending the scheme but tapering out the level of support over a number of years.
In the coming days, I will be taking stock of where matters stand and decisions will be taken in relation to Help-to-Buy having regard to a number of elements including the overall policy context in which the scheme operates and my Department's deliberations as set out in the recent Tax Strategy Group paper.
166. Deputy Cormac Devlin asked the Minister for Finance if his attention has been drawn to a Budget 2022 submission by an organisation (details supplied) which calls for a number of measures to tackle costs in the childcare sector including the introduction of a 0% VAT rate for the early years sector; if he will consider the submission in Budget 2022; and if he will make a statement on the matter. [47359/21]
View answerAs the Deputy will be aware, it is a longstanding practice of the Minister for Finance not to comment, in advance of the Budget, on any tax matters that might be the subject of Budget decisions.
However, for clarity, it is important to note that the VAT Consolidation Tax Act 2010 (VATCA) on Schedule 1 Paragraphs (1) (2) and (3), provides for crèche and nursery services exemption for VAT. This exemption also applies to childminding, childcare and child protection/ education services. The exemption applies to childcare provided on a non-profit basis and also to childcare regulated by Parts (VII) or (VIII) of the Child Care Act 1991 even where provided on a profit-making basis. Exemption also covers the provision of related goods.
With regards to the possibility of deducting VAT for the early years sector, Value Added Tax (VAT) is an input tax incurred by an accountable person on purchases made during the course of business. The legislative basis for VAT deductibility is section 59 of the VATCA 2010. Section 59 of the VATCA 2010 sets out conditions required before input VAT may be deducted. To note, section 59 (2) provides that VAT may only be deductible insofar as the goods and services are used for taxable supplies. Only persons making taxable supplies of goods and services or qualifying activities can reclaim VAT charged on goods and services used for the purpose of their taxable trade.
167. Deputy Pearse Doherty asked the Minister for Finance the estimated additional corporation tax that could be expected to be generated in each of the years 2022 to 2025, respectively if the bailed-out banks had applied to them a 25% and 50% limit respectively on the losses that could be carried forward in a year and a five year absolute limit in which such losses could be used; and if he will make a statement on the matter. [47396/21]
View answerAs the Deputy is aware, loss relief for corporation tax is a long-standing feature of the Irish corporate tax system and a standard feature of corporation tax systems in most OECD countries. It recognises the fact that a business cycle runs over several years and that it would be unfair to tax income earned in one year and not allow relief for losses incurred in another. Loss relief works by allowing a deduction for losses incurred in one accounting period against profits earned in another period.
In relation to the Deputy’s query, section 851A of the Taxes Consolidation Act, 1997 precludes Revenue officials from directly or indirectly disclosing taxpayer information to third parties unless this is specifically provided for in legislation. Therefore it is not possible to provide estimates based on such a small cohort of taxpayers. However, based on public information as to pre-COVID-19 profitability levels, a limit (be it 25% or 50%) on the Corporation Tax losses forward that can be used in one year would likely not yield significant additional tax, due to the amounts of losses forward available to the relevant companies.
A five-year restriction on the carry forward of losses could mean that these companies would no longer be able to use the historic losses that are being carried forward since the financial crisis. However, the likely additional tax yield from such a measure would depend on future profitability levels of the banks and it is not possible to estimate this accurately at present. It is further noted that, if losses forward were to be restricted in this manner, future profitability is likely to be offset to some extent by current losses arising during the pandemic.
It is important to understand that the State is actually getting value from these tax losses through share sales. In addition, despite the scale of losses accumulated, the banks contribute to the Exchequer through the financial institutions levy.
In 2018 Department of Finance officials produced a detailed technical note for the Committee on Finance, Public Expenditure and Reform, and Taoiseach on the subject of both bank losses and corporation tax losses more generally (see www.gov.ie/en/publication/436ff7-technical-note-on-the-potential-consequences-of-changes-to-the-treat/). It was further updated and re-circulated to members during the 2019 Finance Bill process.
168. Deputy Bernard J. Durkan asked the Minister for Finance if he has received the pre-budget submission from an organisation (details supplied) outlining specific requirements; if consideration will be given to the requests in the context of budget 2022; and if he will make a statement on the matter. [47434/21]
View answer169. Deputy Bernard J. Durkan asked the Minister for Finance if his Department has received a pre-budget submission from an organisation (details supplied); if consideration will be given to the submission in the context of budget 2022; and if he will make a statement on the matter. [47436/21]
View answerI propose to take Questions Nos. 168 and 169 together.
In advance of the Budget, as Minister for Finance I receive a large number of pre-budget submissions on a wide range of issues.
These can range from highly detailed and developed proposals for specific changes to existing taxes, reliefs, exemptions and allowances to more straightforward requests, for example, to increase the single person tax credit. Many submissions contain proposals across a range of taxes and allowances that are of particular relevance to the sector in which the person or representative organisation operates. Some are from individuals describing their personal circumstances to place their proposals in context.
The Deputy will be aware that many representative organisations publish their pre-budget submissions on their websites and see it as part of their communication strategy with their members. The vast majority of these pre-budget submissions are sent electronically to my office in the Department of Finance and this is the preferred method of receipt.
I can confirm my office has received the Macra Na Feirme and the Irish Cancer Society submissions respectively. The contents of both submissions will be considered in the context of the forthcoming Budget.
However, as the Deputy may be aware, it is a longstanding practice of the Minister for Finance not to comment, in advance of the Budget, on any tax matters that might be the subject of Budget decisions.
170. Deputy Catherine Murphy asked the Minister for Finance the estimated yield in local property tax from strategic housing developments by county in each of the years 2021 to 2023. [47442/21]
View answerI am advised by Revenue that data in respect of Local Property Tax (LPT) is captured at individual property, and Local Authority levels. Data in relation to strategic housing developments is not required for the efficient administration of the tax and consequently the information requested by the Deputy is not available.
171. Deputy Catherine Murphy asked the Minister for Finance the amount, by county, in forgone local property tax in respect of exempted properties from 2013 to date. [47443/21]
View answerI am advised by Revenue that the table below sets out, in county order, the amount of Local Property Tax (LPT) that was foregone through exemptions for the current ‘valuation period’ (2013- 2021). The figures provided are based on valuations returned by property owners for their exempt properties.
It is important to note that properties built since 2013 are outside the scope of LPT in the current ‘valuation period’ and as such are not included in the exemptions data. The Finance (Local Property Tax) (Amendment) Act 2021 provides that new properties built during the next ‘valuation period’ (2022-2025) will be brought into charge for LPT each November.
Further statistical information on exempted properties and LPT more generally is provided on the Revenue website, with new information published both quarterly and annually, which may be of interest to the Deputy.
|
Local Authority |
Total LPT Exempt 2013-2021 (€ million) |
|
Carlow County Council |
1.1 |
|
Cavan County Council |
1.3 |
|
Clare County Council |
2.0 |
|
Cork City Council |
5.3 |
|
Cork County Council |
7.3 |
|
Donegal County Council |
2.4 |
|
Dublin City Council |
21.3 |
|
Dún Laoghaire-Rathdown CC |
12.4 |
|
Fingal County Council |
7.8 |
|
Galway City Council |
1.3 |
|
Galway County Council |
3.2 |
|
Kerry County Council |
3.3 |
|
Kildare County Council |
4.7 |
|
Kilkenny County Council |
2.4 |
|
Laois County Council |
1.3 |
|
Leitrim County Council |
0.7 |
|
Limerick City and County Council |
4.4 |
|
Longford County Council |
0.8 |
|
Louth County Council |
2.1 |
|
Mayo County Council |
2.0 |
|
Meath County Council |
3.7 |
|
Monaghan County Council |
0.8 |
|
Offaly County Council |
1.0 |
|
Roscommon County Council |
1.2 |
|
Sligo County Council |
1.8 |
|
South Dublin County Council |
5.3 |
|
Tipperary County Council |
3.2 |
|
Waterford City & County Council |
2.4 |
|
Westmeath County Council |
1.4 |
|
Wexford County Council |
3.0 |
|
Wicklow County Council |
3.9 |
|
Total |
114.8 |
172. Deputy Pearse Doherty asked the Minister for Finance if the lapsing of the bank levy at the end of 2021 has been factored into the revenue projections for each of the years 2022, 2023, 2024 and 2025; if revenue raised from extending the bank levy to 2022 will result in additional revenue in the context of Budget 2022; and if he will make a statement on the matter. [47455/21]
View answerAs legislated for in the Finance Act 2016, the Bank Levy is due to expire at end-2021.
The medium-term fiscal forecasts in the Summer Economic Statement contained a reduction in revenue from 2022 to take into account the expiration of the levy.
Any decision on whether to extend the Bank Levy will be made in the context of Budget 2022. Should the measure be continued, it would result in additional revenue and forecasts will be updated accordingly.
173. Deputy Jennifer Whitmore asked the Minister for Public Expenditure and Reform if he will provide a full breakdown of the revenue generated by the carbon tax under the heading of continuation of 2020 carbon tax investment programme; and if he will make a statement on the matter. [47245/21]
View answerMatters in relation to revenue generated by taxation measures, including the carbon tax, are a matter for the Minister for Finance. However, I will note that alongside Budget 2021, my Department published a paper that detailed how much the carbon tax is expected to raise in 2021, the allocation of the resulting funds in line with the Programme for Government commitments, as well as detail on the specific programmes receiving funding. The document remains available at the following location: budget.gov.ie/Budgets/2021/Documents/Budget/Carbon%20tax%20document.pdf
Questions in relation to the operation of these programmes should be directed to the Minister responsible for the programme in question.
174. Deputy Niall Collins asked the Minister for Public Expenditure and Reform the status of a matter (details supplied) regarding governance of Semi-State organisations; and if he will make a statement on the matter. [47362/21]
View answerThe Department of Public Expenditure and Reform has received the request referred to and will process the request in line with the Access to Information on the Environment (AIE) Regulations 2007-2018.
175. Deputy Éamon Ó Cuív asked the Minister for Public Expenditure and Reform when a substantive reply will issue to correspondence (details supplied) sent to the Office of Public Works, which was acknowledged by the Minister of State on 28 July 2021; the protocols in place to ensure speedy and detailed replies to all queries from the public and from Members of the Houses of the Oireachtas; and if he will make a statement on the matter. [47377/21]
View answerThe Commissioners of Public Works regret the delay in responding to the Deputy's correspondence regarding Dún Aonghasa.
I can assure the Deputy that the Commissioners endeavour to provide a substantive response to all parliamentary representations as quickly as possible but there are, on occasion, factors that may impact a timeline in replying. I have asked the Commissioners to provide a response to the Deputy's enquiry immediately.
176. Deputy Brendan Smith asked the Minister for Public Expenditure and Reform when work will commence on a project (details supplied); the expected timeframe for these refurbishment works; and if he will make a statement on the matter. [47397/21]
View answerThe re-opening of Bawnboy Garda Station is part of the 'Pilot Programme of Station re-openings'.
The tender evaluation for Bawnboy Garda Station is now complete. This matter is the subject of ongoing discussion between An Garda Síochána and the Office of Public Works.
The programme for the works will take about 12 weeks to complete.
177. Deputy Jennifer Whitmore asked the Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media if funding is available from the Large-Scale Sport Infrastructure Fund; if any further projects will be considered at this time; the process for those applications as in a case (details supplied); and if she will make a statement on the matter. [47207/21]
View answerThe National Sports Policy as published in 2018 provided for the establishment of a Large Scale Sport Infrastructure Fund (LSSIF). The scheme is designed for projects where the grant being sought is greater than the maximum grant available under the SCEP. The first allocations under the LSSIF were announced in January 2020 and thus far, approximately €86.4m has been awarded to 33 different proposals.
An application was received from Wicklow County Council in respect of the project referred to by the Deputy but was not awarded a grant under the first set of allocations. All applications under the LSSIF were assessed in accordance with the published scoring criteria. The total funding applied for under the scheme significantly exceeded the amount available to allocate and the project referred to by the Deputy did not score sufficiently highly to be awarded a grant under this first set of allocations.
While the priority in the short term is to advance all of the successful projects, as it is now over 18 months since the first allocations were made, and in view of the issues faced by grantees as a result of the COVID-19 pandemic, it is timely to review progress on all projects allocated grants. My Department is engaging with all grantees in this regard. The scope for awarding new grants to projects which missed out under the first set of allocations is being considered as part of this review as is the timing of any new call for proposals. It is expected that the review will be completed in the coming months.
178. Deputy Dara Calleary asked the Minister for Tourism, Culture, Arts, Gaeltacht, Sport and Media if a series of matters raised by an organisation (details supplied) will be examined; if she will ensure that there will be additional resources to assist the sector to recover from the effects of the Covid-19 pandemic; and if she will make a statement on the matter. [47233/21]
View answerOfficials in my Department and I have engaged continuously with the tourism sector throughout the pandemic, with a view to ensuring that the appropriate supports are in place to ensure that this critically important sector can survive and recover. The Tourism and Hospitality Forum, which I co-chair with the Tánaiste and Minister for Enterprise, Trade and Employment, has also provided an important mechanism through which we are engaging with the wider sector.
Measures taken by Government, such as the Employment Wage Subsidy Scheme, the Covid Restrictions Support Scheme, and sector-specific measures for tourism such as business continuity grants and the lower VAT rate have all been critical in supporting businesses and jobs.
Taking account of the recommendations in the latest report from the Recovery Oversight Group, and in the context of Budget 2022, I am working with officials and Government colleagues to establish what further supports can be put in place for the sector. I am conscious in particular of the importance of tourism to regional economies such as Mayo and I will carefully consider the submission from the organisation to which the Deputy refers in this regard.
179. D'fhiafraigh Deputy Éamon Ó Cuív den Aire Turasóireachta, Cultúir, Ealaíon, Gaeltachta, Spóirt agus Meán an bhfuil i gceist aici maoiniú a chur ar fail d’Údaráis Áitiúla le feabhas a chur ar chéibheanna agus sleamhnáin ar locha agus sa bhfarrraige chun forbairt a dhéanamh ar thurasóireacht uisce ar nós badóireacht, seoltóireacht, tumadoireacht, snámh agus rl. go mór mhór i gceantair tuaithe; agus an ndéanfaidh sí ráiteas ina thaobh. [47365/21]
View answerLeithdháiltear maoiniú caipitil um fhorbairt táirgí turasóireachta ar Fáilte Ireland. Deirtear liom nach soláthraíonn Fáilte Ireland maoiniú faoi láthair d’oibreacha athchóirithe nó feabhsúcháin ar chéanna nó ar shleamhnáin chun cabhrú le forbairt turasóireacht uisce. Tuigim, áfach, gur fhógair an tAire Talmhaíochta, Bia agus Mara Pacáiste Infheistíochta Caipitil €38.3m le déanaí d’fhorbairt leanúnach líonra chuanta na hÉireann atá faoi úinéireacht phoiblí lena n-áirítear 79 Cuan Údaráis Áitiúil i 12 Údarás Áitiúil cois farraige.
Maidir le hábhar gaolmhar, beidh an Teachta sásta tabhairt faoi deara gur bhronn Fáilte Ireland €19 milliún ar údaráis áitiúla chun áiseanna gníomhaíochta den chéad scoth a fhorbairt i 22 ionad cois uisce ar fud na tíre ina bhfuil gníomhaíochtaí uisce a mheallann go leor turasóirí ar fáil. Toisc gur ceist oibríochta dóibh forbairt agus riarachán aon scéimeanna, chuir mé an cheist seo faoi bhráid Fáilte Ireland chun freagra díreach a thabhairt don Teachta. Cuir in iúl do m’oifig phríobháideach le do thoil mura bhfaigheann tú freagra laistigh de dheich lá oibre.
180. Deputy Catherine Murphy asked the Minister for Housing, Local Government and Heritage the way in which he will ensure that baselines in respect of local property tax will be equitable in the context of existing and forecasted population growth; and the way in which a local authority may retain increased revenue over redirecting it to an equalisation fund. [47444/21]
View answerThe Government remains committed to ensuring that the local government sector retains a sustainable and stable source of funding from Local Property Tax (LPT), distributed to local authorities via the Local Government Fund, to support the delivery of local authority services.
My Department recently confirmed provisional LPT allocations to local authorities for 2022 amounting to €528m, notwithstanding local variation decisions. LPT allocations for 2022 will provisionally be based on updated information regarding the 2021 yield, on a no change basis i.e. the 80:20 model. All other elements are also be based on 2021 figures, including the LPT baselines, the equalisation contribution and self-funding of housing and roads from surplus LPT. The €34.3m shortfall between the 20% contribution from all local authorities and the total amount required for equalisation is met by the Exchequer. The funding for all local authorities will be kept under review as part of the normal Estimates process and in the context of the upcoming LPT revaluation process.
The Programme for Government 'Our Shared Future', commits to bringing forward LPT reforms. These reforms involve bringing new homes, which are currently exempt from LPT, into the taxation system as well as providing for all money collected locally to be retained within the county.
When detailed information on the new LPT yield becomes available following the revaluation, my Department will review the allocation process.
181. Deputy Jennifer Whitmore asked the Minister for Housing, Local Government and Heritage if clarity will be provided regarding section 34 of the Planning Acts, which states that An Bord Pleanála is obliged to take Government policy into account; the sections of the various Planning Acts to which the obligation on An Bord Pleanála to consider Government policy apply; and if he will make a statement on the matter. [47208/21]
View answerSection 34(2) of the Planning and Development Act 2000, as amended (the Act), provides that when making its decision on a planning application, the planning authority shall be restricted to considering the proper planning and sustainable development of the area having regard to the provisions of the local development plan as well as a number of other factors including any guidelines issued by the Minister under section 28 of the Act as well as the policy of the Government, the Minister or any other Minister of the Government.
Section 143 of the Act further provides that when making a decision on an appeal or planning application, An Bord Pleanála (the Board) shall have regard to the policies and objectives of the Government, a State authority, the Minister, planning authorities and any other body which is a public authority whose functions have, or may have, a bearing on the proper planning and sustainable development of cities, towns or other areas, whether urban or rural. The Board shall also have regard to the national interest and any effect the performance of the Board’s functions may have on issues of strategic economic or social importance to the State, the National Planning Framework and any regional spatial and economic strategy for the time being in force.
182. Deputy Jennifer Whitmore asked the Minister for Housing, Local Government and Heritage when he will update planning regulations around solar power to enable schools and community buildings to obtain planning permission to install solar panels; if his attention has been drawn to the high costs of acquiring planning permission for community buildings; if he will consider exempting them in the same manner as businesses and homes currently are; and if he will make a statement on the matter. [47254/21]
View answer183. Deputy Jennifer Whitmore asked the Minister for Housing, Local Government and Heritage if information will be provided on his Department's review of siting and size conditions for rooftop solar panels on homes and the review of exemptions for educational and community buildings, as part of the current development of interim planning regulations; if further information will be provided on the stated need to consider environmental assessment reporting before finalisation; when the interim planning regulations will be submitted to the Houses of the Oireachtas; and if he will make a statement on the matter. [47255/21]
View answerI propose to take Questions Nos. 182 and 183 together.
Under the Planning and Development Act, 2000, as amended (the Act), all development, unless specifically exempted under the Act or associated Regulations, requires planning permission. Section 4 of the Act and Schedule 2 of the Planning and Development Regulations 2001, as amended (the Regulations), set out various exemptions from the requirement to obtain planning permission. Any such exemptions are subject to compliance with any general restrictions on exemptions set out in the Act or the Regulations and to the specific conditions set out in each class of exempted development in Schedule 2 of the Regulations. Included in the planning exemptions set out in the Regulations are those applying to the installation of solar infrastructure on a variety of building types, including houses, businesses, industrial and agricultural to which specific conditions are attached.
My Department, in the context of the Climate Action Plan and in consultation with the Department of Environment, Climate and Communications, has undertaken a review of the solar panel planning exemptions set out in the Regulations, with a particular focus on facilitating increased self-generation of electricity.
This review is now complete. Substantial changes to the current planning exemption thresholds for solar panels are proposed, as well as the introduction of new classes of solar panel planning exemptions relating to their use in apartments and in educational/community/religious buildings; thereby reducing the regulatory and financial burden associated with this type of development.
In light of the need to appropriately address aviation safety concerns arising from the “glint and glare” impacts of solar panels and the easing of the solar panel planning exemption thresholds, my Department is in the process of commissioning the development of detailed aviation safeguarding maps which will identify and delineate specific but limited areas in the vicinity of airports and aerodromes (referred to as exclusion zones) within which the exemptions will not apply. This mapping process will take approximately nine months to complete.
Whilst this work is ongoing, my Department proposes to advance interim regulations, adopting a temporary, albeit more stringent, radial approach incorporating initial defined exclusion zones around airports and aerodromes. These interim regulations, allowing for increased solar panel planning exemptions, will cover the vast majority of the land area of the country, only excluding those limited exclusion zones around airports and aerodromes.
The draft interim regulations have been reviewed under the Strategic Environmental Assessment (SEA) Directive 2001/42/EC and it has been determined that they are likely to have significant effects on the environment, necessitating the undertaking of a full SEA on the draft proposals. The SEA process, involving a public consultation on the proposals, is currently underway and is expected to be completed by mid-December 2021.
Following the public consultation and consideration of any submissions received, and as required under planning legislation, the proposed exempted development regulations must be laid in draft form before the Houses of the Oireachtas and receive a positive resolution from both Houses before they can be made and the SEA process concluded.
Accordingly, the process for finalising the interim solar panel planning exemptions as referred to above, with interim exclusion zones around airports and aerodromes, is now expected to be completed in early 2022. As outlined, pending the finalisation of the aforementioned aviation safeguarding maps, these interim regulations will allow for the vast majority of the country to be covered by the proposed new solar panel exemptions apart from those areas in close proximity to airports and aerodromes.
Work on the development of the aviation safeguarding maps for airports and aerodromes is expected to be completed in early 2022. The final supplementary set of regulations - delineating the final exclusion areas around airports and aerodromes in which the exemptions will not apply - will be prepared thereafter and, subject to environmental reporting considerations, will subsequently be laid in draft form before the Houses of the Oireachtas for approval in a timely manner.
