Written Answers Nos. 175-188
176. Deputy Catherine Murphy asked the Minister for Finance the amount of betting duty collected between 1 January and 31 December 2022; the amount collected to date in 2023; the amount in betting intermediary duty collected between 1 January and 31 December 2022; and the amount collected to date in 2023, in tabular form. [50936/23]
View answerI am advised by Revenue that the receipts from Betting Duty for the year 2022, and prior years, are available on the Revenue website at: www.revenue.ie/en/corporate/information-about-revenue/statistics/excise/receipts-volume-and-price/betting-duty-receipts.aspx.
The provisional Betting Duty receipts for January to October 2023 are €102.7m. The breakdown of these receipts is shown in the following table.
|
Head of Duty |
€ million |
|
Betting Duty |
47.7 |
|
Remote Betting Duty |
51.2 |
|
Betting Commissions |
3.8 |
|
Total |
102.7 |
177. Deputy Catherine Murphy asked the Minister for Finance the estimated full-year yield that would be generated by establishing three new income tax bands of 47% on earnings between €140,000 and €190,000, 52% on earnings between €190,001 and €250,000 and 58% on earnings over €250,001. [50937/23]
View answerI am advised by Revenue that the estimated first and full year yield to the Exchequer of establishing three new income tax bands of 47% on earnings between €140,000 and €190,000, 52% on earnings between €190,001 and €250,000 and 58% on earnings over €250,001 is €1,795 million and €2,285 million respectively.
The estimated yields are calculated on a taxpayer unit basis with a jointly assessed couple counted as one unit.
179. Deputy Paul Murphy asked the Minister for Finance if his Department has any current contracts with any Israeli state agency, any Israeli-based company or any company based elsewhere in the world which is owned or part-owned by any Israeli state agency or by any Israeli-based company; and if so, the value of those contracts. [51044/23]
View answerMy Department does not hold any current contracts with any Israeli state agency.
Regarding Israeli based companies (or any company based elsewhere in the world which is owned or part-owned by an Israeli state agency or by any Israeli-based company), the information requested is not collated by my Department. My Department maintains a register of all live contracts in accordance with Circular 40/2002 to assist in forward planning and exercising appropriate internal control and arrange for the publication of relevant details where required, however this register does not include information on the ownership of companies.
The ‘National Public Procurement Policy Framework’ issued by the Office of Government Procurement (OGP) in November 2019, sets out the procurement procedures to be followed by government departments and state bodies in accordance with EU rules and national guidelines.
In addition, my Department has its own internal policy and guidance documents to assist staff to comply with all procurement regulations.
The principle of competitive tendering for Government contracts is used by my Department for the acquisition of goods and services. This is a requirement in accordance with the Directive on Public Procurement and the European Union (Award of Public Authority Contracts) Regulations 2016.
Central to those procedures is the requirement to allow fair competition between suppliers through the submission of tenders following advertising of the tender competition on the eTenders site and on the Official Journal of the European Union, where appropriate. Such tender competitions are open to any company or country, subject to the terms of all UN or EU restrictive measures. No such restrictive measures are currently in place on Israel or Israeli companies.
180. Deputy Paul Murphy asked the Minister for Finance if his Department or any of its agencies are involved in any exercise, operation, training or research which includes involvement by any Israeli state agency, any Israeli-based company or any company based elsewhere in the world which is owned or part-owned by any Israeli state agency or by any Israeli-based company. [51062/23]
View answerMy Department is not involved in any exercise, operation, training or research which includes involvement by an Israeli state agency, an Israeli-based company or any company anywhere in the world which is owned or part-owned by an Israeli stage agency or by an Israeli-based company. I would refer the Deputy to the reply which I gave to Dáil Questions 315 and 316 on 7 November as they relate to a similar topic.
Bodies under the aegis of my Department have advised below.
The National Treasury Management Agency (NTMA) understands this to mean the provision of services to the NTMA or training/research directly involving the NTMA. When contracting or engaging with third parties, the NTMA is not necessarily aware of their respective shareholders (other than as required under law or regulation) or all locations. In the above context, the NTMA is aware of the following:
The Ireland Strategic Investment Fund (ISIF) had direct engagement in May 2021 with the Israeli Innovation Authority by email.
The National Development Finance Agency (NDFA) is a member of EPEC (European PPP Expertise Centre), of which Israel is a member. The NDFA has previously shared PPP policy information with the Israeli Government’s PPP unit via EPEC.
NewERA have been in attendance at OECD Working Parties and at other fora where Israeli delegates would also have been in attendance.
As part of the OECD Working Party on Debt Management, the Funding and Debt Management unit of the NTMA work with all other OECD delegations in attendance on sharing information and discussing bond market developments and best practise. The Israeli delegation can, and does, contribute to these debates and exercises.
The International Tax Division of the Revenue Commissioners has regular engagement with the tax administrations and Ministries of Finance of other jurisdictions, including Israel, in the performance of its functions. This includes discharging Ireland’s obligations under double taxation agreements in respect of companies, including Israeli-based companies or affiliates thereof based in Ireland or in other countries with which Ireland has a double taxation agreement. Ireland’s double taxation agreement with Israel began to take effect from 1 January 1996.
Both Ireland and Israel are members of the Organisation for Economic Co-operation and Development (OECD) and participate in fora, bodies, training and working parties facilitated by the OECD’s Centre for Tax Policy and Administration. Such fora and working bodies include the Forum on Tax Administration and its network the Joint International Taskforce on Shared Intelligence and Collaboration (JITSIC), the Global Forum on Transparency and Exchange of Information for Tax Purposes and the Forum on Harmful Tax Practices. Working parties of these fora include those focusing on international taxation issues such as tax conventions, tax policy analysis and tax statistics, consumption taxes, exchange of information, and tax compliance and aggressive tax planning.
The Central Bank of Ireland is a member of the International Operational Risk Working Group (IORWG). Along with circa 100 other countries, Israel is represented on this group by the Bank of Israel as its national central bank. This can lead to Bank of Israel representatives being in attendance at IORWG meetings, and/or to Bank of Israel seeking direct bilateral feedback on occasion from the Central Bank.
In addition, Israeli delegates may also attend/engage various international fora and groups which the Central Bank is involved in (i.e. the Bank for International Settlements, the IMF Spring/Annual Meetings, etc.).
With regard to information technology contracts, the Central Bank of Ireland utilises tool sets named JFrog Artifactory and the security scanning tool, JFrog Xray, supplied by the JFrog company. These were first introduced to Central Bank in January 2019 to provide automated and continuous scanning of repository accessed code modules and to identify and prevent known security vulnerabilities and open source licensing violations from making it to production using the industry’s most comprehensive database, VulnDB. Both of these products are delivered through the commercial offering called JFrog Cloud Enterprise + Security Pack. The products are procured on an annual term basis through an EPCO (European Procurement Coordination Office) Framework at a current annual (Ex. VAT) cost of circa €15,000. Research indicates that the JFrog company is incorporated in Israel.
It has not been possible to conduct a comprehensive review of all contracts in the time allowed and the Central Bank is not aware of any other contracts in respect of which the supplier is an Israeli State Agency or an entity incorporated in Israel (or is part owned by either). The Central Bank will provide information to the Deputy if any further relevant contracts are identified.
The Office of the Comptroller and Auditor General (OCAG) is not directly involved in any exercise, operation, training or research which includes involvement by any Israeli state agency, any Israeli-based company or any company based elsewhere in the world which is owned or part-owned by any Israeli state agency or by any Israeli-based company.
However, OCAG is a member of International Organisation of Supreme Audit Institutions (INTOSAI) and European Organisation of Supreme Audit Institutions (EUROSAI), which are autonomous, independent and non-political organisations. Israel is also a member of both organisations. As a member of both organisations, representatives of OCAG attend/present at a number of conferences/webinars.
181. Deputy Ged Nash asked the Minister for Finance further to Parliamentary Question No. 111 of 25 October 2023, if he will provide an update on claims under the Insurance Compensation Fund of Ireland for persons who were insured by a company (details supplied) which was regulated by the Central Bank and has since been liquidated; and if he will make a statement on the matter. [51106/23]
View answerI am aware of the company mentioned, which is domiciled in Gibraltar and regulated by the Gibraltar Financial Services Commission but also operated in Ireland on a cross-border basis under the EU freedom to provide services provisions. On 31 December 2019, it, ceased writing new business and went into run-off.
The company in question is currently seeking independent legal advice on its ability to access the Insurance Compensation Fund of Ireland to compensate Irish customers who have claims that it cannot meet. In this regard, the State Claims Agency has had engaged with the liquidator on the matter. Most recently, the State Claims Agency met with the solicitors for this firm on the 29th September.
The Central Bank of Ireland has informed the Department that it is aware of this liquidation, and that to date, no claims have been made on the Insurance Compensation Fund in respect of it.
My officials continue to monitor this situation and will continue to engage with the Central Bank of Ireland and the State Claims Agency on this matter.
182. Deputy Pearse Doherty asked the Minister for Finance the number of returns with respect to the vacant homes tax that have been received to date; and if he will make a statement on the matter. [51129/23]
View answer183. Deputy Pearse Doherty asked the Minister for Finance the number of properties that were projected to be in scope of the vacant homes tax at the beginning of this year; and if he will make a statement on the matter. [51130/23]
View answer184. Deputy Pearse Doherty asked the Minister for Finance the number of returns with respect to the vacant homes tax that have been received to date which have claimed exemption with respect to the tax on the grounds of the owner has died, a grant or representation was issued, the property is actively marketed for rent or sale, the property is subject to certain court orders, the property has underwent structural works, the property is unoccupied due to illness of the owner and the property is deemed not to be habitable, in tabular form. [51131/23]
View answerI propose to take Questions Nos. 182, 183 and 184 together.
As the Deputy is aware, Vacant Homes Tax (VHT) is a new measure announced in Budget 2023, which aims to increase the supply of homes for rent or purchase to meet demand. Legislative provision for the tax was made in the Finance Act 2022. A residential property will be within the scope of VHT, if it has been occupied as a dwelling for less than 30 days in a chargeable period.
VHT operates on a self-assessment basis, where the number of properties in scope and the amount of tax payable depends on the self-assessed returns submitted by property owners, the number of properties declared as liable, and the number of property owners entitled to claim available exemptions from the tax. The first chargeable period ended on 31 October 2023 with the first self-assessed returns due on 7 November 2023 and the associated tax payable on or before 1 January 2024.
As with Local Property Tax, VHT does not apply to derelict or uninhabitable properties. Where a property is uninhabitable, to such an extent that it is not suitable for occupation (or not actually occupied), it is outside the scope of VHT and is not taxable. In such circumstances, the property owner is not required to file a VHT Return. Therefore, data is not available in respect of the number of units that are uninhabitable and deemed ineligible for VHT.
Prior to the introduction of the tax in Budget 2023, officials used Revenue’s preliminary analysis of vacant properties from the 2021 Local Property Tax (LPT) returns to estimate how many properties may be within scope, as well as a possible yield. Certain assumptions were made based on the Revenue data, taking into account the number of long-term vacant properties (those unoccupied for greater than 12 months), their valuation band, as well as their reasons for lying vacant. It was tentatively estimated that less than 15% of the total properties reported as long-term vacant may be in scope of the tax after exemptions were claimed. However, because the tax aims to encourage behaviour change, my Department has maintained the view that the number of properties who will be subject to this tax and the eventual yield may be lower than the estimates provided.
I am advised by Revenue that, to date 2,087 property owners have declared 4,806 properties as vacant.
The following table provides a breakdown of the number of VHT exemptions claimed for the period ending 31 October 2023:
|
- |
|
|
Properties where the owner has died |
116 |
|
Properties where a Grant of Representation was issued |
29 |
|
Properties actively marketed for sale or rent |
580 |
|
Properties subject to certain Court Orders |
12 |
|
Properties that underwent structural work |
972 |
|
Properties unoccupied due to illness of the owner |
256 |
|
Total |
1,965 |
185. Deputy Pearse Doherty asked the Minister for Finance the number of taxpayers liable to stamp duty on leases for a term of less than 35 years in each of the years 2011 to 2023, disaggregated by leases executed before and on/after 25 December 2017, in tabular form; and if he will make a statement on the matter. [51136/23]
View answerThe Stamp Duties Consolidation Act (SDCA) 1999 provides for a charge to stamp duty on certain written documents, referred to as “instruments”, that are listed in schedule 1 to the SDCA 1999. The Lease head of charge is included in this list. Under the lease head of charge, stamp duty is payable on the rent payable on a lease. The rate payable depends on the period of the lease:
• A term not exceeding 35 years or of indefinite duration is charged at 1% of the average annual rent. This generally includes annual leases which roll over.
• A term exceeding 35 years but not exceeding 100 years is charged at 2% of the average annual rent.
• A term exceeding 100 years is charged at 12% of the average annual rent.
Where a lease of less than one year is entered into, the stamp duty will be based on the total rent payable and where a lease is for greater than one year, stamp duty is payable on the average annual rent.
The lessee is liable to pay the stamp duty on the lease by filing a stamp duty return through ROS or MyAccount.
As stamp duty applies to written documents, an oral agreement to reside in a property would not be liable to stamp duty. However, it is noted that a contract for a lease or tenancy must be evidenced in writing in order for it to be enforceable in court (section 51 of the Land and Conveyancing Law Reform Act 2009).
An exemption applies in respect of leases of houses and apartments where the term of the lease is for less than 35 years or is for an indefinite term and the annual rent is less than €40,000. The current €40,000 limit was put in place by Finance Act 2017, having previously been €30,000. The exemption is designed to ensure only high rents are liable, so it is set at a level to ensure only those rents at the top end of the market are subject to the stamp duty on residential leases. Reflecting this, section 67 of Finance (No. 2) Bill 2023, proposes to increase the current threshold to €50,000 per annum to take account of increases in rents since the €40,000 limit was introduced, so maintaining the position of the stamp duty applying to only the highest cohort of annual rents.
I am informed by Revenue that the available information is as shown in the table below. Statistics for 2023 are not yet available.
Number of Stamp Duty returns by year for leases under 35 years
|
Executed prior to 25th December 2017 |
Executed on/post 25th December 2017 |
|
|
2011 |
6,494 |
0 |
|
2012 |
6,701 |
0 |
|
2013 |
6,062 |
0 |
|
2014 |
6,488 |
0 |
|
2015 |
9,204 |
0 |
|
2016 |
9,487 |
0 |
|
2017 |
9,672 |
0 |
|
2018 |
1,402 |
8,214 |
|
2019 |
462 |
9,070 |
|
2020 |
226 |
8,168 |
|
2021 |
133 |
10,044 |
|
2022 |
70 |
10,422 |
186. Deputy Róisín Shortall asked the Minister for Finance the figure provided by his Department to maintain existing levels of service in 2024, under his respective remits ahead of Budget 2024; the figure granted by the Department of Public Expenditure, National Development Plan Delivery and Reform in each case; and if he will make a statement on the matter. [51178/23]
View answerDuring negotiations in advance of Budget 2024, the Department of Finance submitted a gross budget request to the Department of Public Expenditure, NDP Delivery and Reform (D/PENDR) for €48.96 million.
Following discussions with D/PENDR an agreement was made for gross funding of €47.789 million.
187. Deputy Jackie Cahill asked the Minister for Public Expenditure, National Development Plan Delivery and Reform if the modular unit developments for Ukrainian accommodation in Charleville, Mahon and Thurles, were tendered for by the OPW; if so, how many tenders were received for each development; and if he will make a statement on the matter. [51022/23]
View answerSince the invasion of Ukraine by Russia’s armed forces in February 2022, Ireland has welcomed almost 70,000 Ukrainian people who have fled the war in their country. The EU’s Temporary Protection Directive provides the legal framework for assisting Ukrainians entering the EU who are officially called Beneficiaries of Temporary Protection (BOTPs). The Government’s overall humanitarian response is coordinated with our EU partners and other countries. Because of the sudden and unprecedented numbers of new arrivals in the State, over such a short period of time, the Government, of necessity, has had to use a range of accommodation sources to facilitate displaced Ukrainians. These include hotels, guesthouses, former religious buildings, sports halls, youth hostels, scout dens, arenas, holiday villages and tented camps as well as space in privately owned homes pledged through the Irish Red Cross.
On 11 April 2022, the Government agreed that the Department of Housing Local Government and Heritage (DHLGH) would lead on addressing the medium and long-term need to develop capacity for Ukrainian arrivals including the possible provision of rapid build accommodation. A Task-force was set up, led by the DHLGH, to oversee a 3-streamed approach to rapid build, refurbishments and new builds.
Arising from a Memorandum from the Minister for Housing, Local Government and Heritage, considered on 26 April 2022, the Government decided on a range of measures to boost the supply of accommodation for refugees arriving from Ukraine. These measures included a rapid build, volumetric, modular units option - the evaluation of which was to be led by the Office of Public Works (OPW).
The OPW in conjunction with the Construction Industry Federation (CIF) representing specialist rapid build manufacturers and main contractors, developed an exemplar design and specification to ensure Building Regulation compliance. The design is based exclusively on rigid frame volumetric structures which represents the best method, having regard to the need for quality, speed, and simplicity of design and production, to achieve the scale of programme required. These meetings took place in the earlier phase of the design process in April and May 2022.
The rapid build prototype that has been designed is a highly energy efficient A Energy Standard durable single storey unit (with a structural life of 60 years). The 60 year lifespan was chosen to be consistent with housing standards and to maximise the long-term value to the exchequer, of the significant up front investment involved, by providing units that can meet future accommodation needs, once the humanitarian crisis, induced by the War in Ukraine, has passed.
On 28 June 2022, the Government authorised the roll-out of a rapid build homes programme to provide accommodation for 2,000 Ukrainians, predominantly women and children, in 500 family units at several sites across Ireland. This was subsequently increased to 700 units. Since then, my Office has been working collaboratively with the Department of Children, Equality, Disability, Integration and Youth as the Lead Department, and a range of other bodies such as the Department of Housing, Local Government, and Heritage, local authorities, Irish Water, ESB networks and Open Eir to deliver the rapid build housing programme.
Following a specialised procurement process, John Sisk & Son (Holdings) Ltd was appointed as the main contractor to manage the site enabling works and to arrange for the procurement, transportation and installation of the rapid build homes for this project. The procurement process was undertaken in July and August 2022 and approval to award the contract given on 25 August 2022.
John Sisk & Son (Holdings) Limited, has engaged with rapid build homes manufacturers and has competitively tendered to the market for the supply of the rapid build homes, using the specifications, innovative exemplar model, quality and assurances developed by the OPW. John Sisk & Son (Holdings) Limited has now established a framework of 5 suppliers with the capacity to produce the homes to the required standard.
The production of the 700 homes required for the programme commenced in October 2022 and the homes are being delivered on site on a phased basis from end January 2023 for installation as site enabling works are completed.
188. Deputy Paul Murphy asked the Minister for Public Expenditure, National Development Plan Delivery and Reform if he is aware of a report (details supplied) relating to the planned cull of rabbits at Derrynane National Park, which recommends that Fenn traps are not used due to the suffering they can cause, that the proposed shooting of rabbits using certain rifles is not carried out because "neither weapon is suitable for culling rabbits", and which highlights the "significant welfare concerns associated with ferreting rabbits"; and if he will act to stop the cull. [51582/23]
View answerThe Office of Public Works is continually looking at options to successfully manage the landscapes and properties in a way that is beneficial to wildlife and biodiversity, particularly at locations such as Derrynane, which contains wildlife habitats protected at a European level that require protection. I can advise my officials issued a tender for services for a proposed rabbit cull at Derrynane, on the advice of ecologists, who are finalising a report on the sand dunes at Derrynane. There is no timeline for delivery of the services in the tender documents as culls of this nature are determined by weather conditions. As previously advised, it is envisaged that the controls may be undertaken sometime between 1 November 2023 and the end of January 2024.The Office of Public Works will follow the advice received from expert groups. It should be noted that the Wildlife Act of 1976 relates to protected species, and that rabbits are not a protected species.
