asked the Minister for Finance (a) what was the total amount to the nearest £100,000 of Schedule D tax in arrears and uncollected as at 31st March, 1967, in respect of the fiscal year 1965-66, the fiscal year 1964-65 and all previous fiscal years; and (b) what is the approximate effect on total income tax yield of a variation of one penny in the standard tax rate.
Ceisteanna—Questions. Oral Answers. - Uncollected Taxes.
36.
Mr. Barrett
The amount of income tax outstanding on the 1st June, 1966, the latest date for which figures are available, was £6,254,202, of which £3,339,217 related to the year 1964-65 and £2,914,985 to earlier years. These amounts consist almost entirely of tax assessed under Schedule D.
The bulk of the outstanding tax relates to cases under appeal or inquiry. Quite a number of them will ultimately yield no tax or less tax than that originally charged and the original assessment will eventually require to be totally or partially discharged. In some of the cases the tax-payer may be granted adjournment of the appeal so that a considerable period may elapse before final liability is determined and the consequential discharges made.
A variation of one penny in the standard rate of income tax would affect the net receipt of income tax to the extent of about £770,000 in a full year.
Could the Minister give in relation to the first part of the question a figure for the effective arrears—an estimate of the amount of arrears that would ultimately be found to be due?
There is about 80 per cent under appeal or inquiry; about ten per cent is not in dispute but collection has been held up for one reason or another, such as bankruptcy or death; and tax immediately due for collection is about nine per cent.
Is there any breakup of how the 80 per cent is distributed between assessments discharged and tax due?
About £5 million is under appeal or inquiry.
I appreciate that, but could the Minister give an estimate of the amount under appeal which will be discharged and of the amount under appeal which will be found ultimately to be payable?
I could not do that.
37.
Mr. Barrett
asked the Minister for Finance what is the aggregate amount to the nearest £100,000 of the income tax and corporation profits tax uncollected by reason of export relief exemption for all the fiscal years up to 5th April, 1966, for which such figures have been prepared.
In the period from 1st February, 1959, to 31st January, 1967, the aggregate amount by which liabilities to income tax and corporation profits tax have been reduced under Part III of the Finance (Miscellaneous Provisions) Act, 1956, as amended, is £8,700,000, made up as follows:
|
£000 |
|
|
Year to the 31st January,1960 |
400 |
|
,,,,,,,,,,1961 |
600 |
|
,,,,,,,,,,1962 |
700 |
|
,,,,,,,,,,1963 |
1,200 |
|
,,,,,,,,,,1964 |
1,100 |
|
,,,,,,,,,,1965 |
1,100 |
|
,,,,,,,,,,1966 |
1,600 |
|
,,,,,,,,,,1967 |
2,000 |
A measure of the success of the incentive.
As amended.
And opposed bitterly by the Taoiseach at the time.