asked the Minister for Finance whether, in the published accounts of the Government, viz., the Income and Expenditure Account, the proceeds of taxation under the Income Tax, Corporation Profits Tax, and Excess Profits Duty are shown gross or net; if the proceeds are shown gross, whether he will state where the repayments for drawback under the Excise duties, repayments for Income Tax and Excess Profits Duty, are shown and included on the Expenditure side, under what Vote they are paid, and what are the gross amounts of same for 1923/24; if the proceeds are shown net, whether he will state under what Vote or authority of the Dáil repayments are made, the head of expenditure under which shown, and their gross amount for the year 1923-24 under the separate heads of Excise, Customs, and Income Tax; further, if the published proceeds of Income Tax include non-recurring receipts in respect of arrears, and, if so, if he will state the gross and net amounts of such arrears shown in the published totals.
CEISTEANNA—QUESTIONS. ORAL ANSWERS. - INCOME AND EXPENDITURE ACCOUNT.
The Deputy is referred to the Finance Accounts of Saorstát Eireann for the financial year ended 31st March, 1924, which have been presented to the Oireachtas, and in which the total of Gross Receipts, Drawbacks, Repayments, Allowances, etc., and Net Receipts are shown under the several heads of Revenue.
Authority for repayments is contained in Acts imposing the duties or in Acts governing their administration. For example, repayment of duty by way of drawback (1) on beer is authorised by Section 4 of the Customs and Inland Revenue Act, 1881, and the Inland Revenue Act, 1880, Sections 36 and 37; (2) on sugar by the Finance Act, 1901, Section 2 (1), and Finance (No. 2) Act, 1915, Section 13. Repayments of Income Tax are made under the provisions of numerous sections of the Income Tax Act, 1918, such as Sections 10 to 16, 25, 29, etc., and of the Finance Acts, 1920, Section 27 (2); 1921, Sections 25, etc.; 1922, Section 26; and 1924, Sections 3 and 8. Authority for repayment of Corporation Profits Tax is contained in Finance Act, 1920, Section 31; 1922, Section 21 (5); and 1924, Section 35; and of the Excess Profits Duty in the Finance (No. 2) Act, 1915, Sections 38 (3) and 45 (6); and Finance Act, 1921, Sections 35 to 39.
The published proceeds include all Income Tax arrears. The gross amount of such arrears, exclusive of super-tax arrears, for years prior to 1923-24, collected during the year ended 31st March, 1924, was £3,564,928. As repayments are made out of the total receipts in the year it is not possible to state the net amount of such arrears collected. The figure of £3,564,928 includes a large amount of revenue for 1922-23 normally collectible in 1923-24. For example, it includes the collection of the second instalment of Income Tax for 1922-23.
It must be borne in mind that the collection of abnormal arrears always reacts unfavourably on the collection of current revenue, and, furthermore, that the collection for 1923-24 was adversely affected by the state of the country in the early part of that year and other circumstances, such as the disorganisation arising out of the transfer of the administration of the tax from the British authorities to our own officials.
The net receipts from Income Tax (exclusive of super-tax) for the calendar year ended December, 1924, were £5,570,000, and this will probably afford a better guide to the amount of the normal collection if allowance be made for abnormal arrears and abnormal pressure on the staff. The non-recurring receipts which may be regarded as included in this figure in respect of abnormal arrears cannot be stated with accuracy, but is estimated at £1,100,000.