Dáil Éireann díospóireacht -
Thursday, 6 Nov 2003

Vol. 573 No. 5

Written Answers. - Tax Code.

Gerard Murphy

Ceist:

69 Mr. Murphy asked the Minister for Finance his estimate of the cost of patent relief; the number of outstanding patents in respect of which this relief is claimed; and the number of persons who are benefiting from the relief. [25831/03]

Minister for Finance (Mr. McCreevy)

I am informed by the Revenue Commissioners that returns of income from patents are not captured in such a way as to provide a basis for compiling the information sought by the Deputy. Patent income is aggregated in the Revenue Commissioners' records with other forms of income and cannot be distinguished without conducting an extensive investigation of those records.

There are difficulties in providing costs for some reliefs mainly due to the simplification of the tax returns process and the resulting aggregated nature of the information gathered. My Department is working closely with the Office of the Revenue Commissioners to consider mechanisms to enhance the level of information captured in respect of tax reliefs to facilitate work on evaluation and review. In addressing this requirement, I am of course conscious of the need to balance the needs of the Exchequer with the desire to minimise as far as possible the administrative burden on taxpayers in general and on the business community.

Emmet Stagg

Ceist:

70 Mr. Stagg asked the Minister for Finance the amount of corporation tax paid on the profits, dividends and royalties of foreign-owned companies prior to their repatriation each year for the past five years; and if he will make a statement on the matter. [25793/03]

Minister for Finance (Mr. McCreevy)

I am informed by the Revenue Commissioners that statistics on the amount of corporation tax paid by foreign-owned companies are not separately available.

However, data can be derived from corporation tax returns on the percentage of corporation tax attributable to companies taxed wholly or partly at the reduced rate of 10%. Many of these companies are foreign-owned. This information, which is available for accounting periods ending between 1 April 1997 and 31 December 2001, is as set out as follows.

Year Ending 31 March	Percentage of total Corporation Tax for the 10% yield from companies qualifying Rate.%	Estimated Corporation Tax yield from companies qualifying for the 10% Rate€m
1998	57	1,431
1999	56	1,818
2000	57	2,185
2001	61	2,716
2001 (calendar year)	61	2,521

These figures relate to the total tax liability of companies which qualify for the reduced rate of 10% on some of or all their profits. The yield figures for the first four years are by reference to accounting periods ending in the years ended on 31 March as indicated. The yield for the most recent year, namely 2001, is available on a calendar year basis.

Mary Upton

Ceist:

71 Dr. Upton asked the Minister for Finance the number of taxpayers paying tax at the higher rate in 2003; the percentage of taxpayers this represents; the equivalent figures for each of the previous three years; and if he will make a statement on the matter. [25797/03]

Minister for Finance (Mr. McCreevy)

I am advised by the Revenue Commissioners that the information requested by the Deputy is as follows. The numbers and percentage of income earners paying tax at the higher rate of income tax for each of the tax years in question are:

2000/2001	540,430	30.62%
2001	515,750	28.26%
2002	516,780	27.89%
2003	570,070	30.50%

The figures for 2003 have been revised from those quoted in the Budget 2003 booklet to take account of more up to date base information which has become available since the budget. The figures from 2001 onwards are provisional and subject to revision. The percentages are expressed in terms of the numbers of all income earners on the income tax record, including those who are exempt. It should be noted that a married couple who have elected or have been deemed to have elected for joint assessment are counted as one tax unit.