Written Answers Nos. 63-71
63. Deputy Pearse Doherty asked the Minister for Finance the value and number of commercial loan books that remain at Irish Bank Resolution Corporation, IBRC, and the value of the commercial loan books sold at IBRC. [31926/14]
Amharc ar fhreagra64. Deputy Pearse Doherty asked the Minister for Finance if the non-performing commercial loans at Irish Bank Resolution Corporation are to be sold, or have been sold, in a portfolio or portfolios; and if he will make a statement on the matter. [31927/14]
Amharc ar fhreagra65. Deputy Pearse Doherty asked the Minister for Finance if he will name the investment funds behind the purchaser of commercial loans at Irish Bank Resolution Corporation, including the investment fund behind Kenmare Property Finance which was set up only one day before the sale of a commercial loan book to it was agreed. [31928/14]
Amharc ar fhreagra66. Deputy Pearse Doherty asked the Minister for Finance the steps he is taking to ensure the commercial loans at Irish Bank Resolution Corporation are not being or will not be sold to vulture funds; and if he will make a statement on the matter. [31929/14]
Amharc ar fhreagraI propose to take Questions Nos. 63 to 66, inclusive, together.
I am advised by the Special Liquidators that a mixture of performing and non-performing commercial loans have been sold and they are in the process of devising and implementing a further sales process in respect of the unsold assets. I am advised that the information requested in relation to the value and number of loans sold/to be sold and the identity of the purchaser of the commercial loans specified is commercially sensitive and the Special Liquidators will not be providing that information. Full detail in relation to the sales processes concluded by the Special Liquidators to date are contained in the update report recently published on the Department of Finance website http://www.finance.gov.ie/news-centre/press-releases/progress-report-update-successful-special-liquidation-ibrc.
In relation to the steps taken around the sale of the commercial loan book, the Special Liquidators devised a sales process that allowed only Qualified Bidders to make bids for the loan assets of Irish Bank Resolution Corporation Limited (in Special Liquidation). In order to be a Qualified Bidder the borrower/third party had to meet certain pre determined criteria. Loan assets were only sold to these Qualified Bidders if their bids were in excess of the independent valuations received and maximised the return for the creditors of IBRC including the Irish taxpayer.
67. Deputy Brendan Ryan asked the Minister for Finance if the rate of VAT applicable to traders from outside the State who do not have registered establishments inside the State and who trade in the supply, installation and monitoring of emergency alarm systems is the same as that for domestic traders; if he will confirm that the applicable VAT rate is included in all tenders for alarm contracts with statutory bodies; and if this is a requirement of public sector tendering process for foreign companies; and if he will make a statement on the matter. [31967/14]
Amharc ar fhreagraI am informed by the Revenue Commissioners that under Irish and EU VAT law the place of supply for VAT on services connected to buildings is the Member State in which the building is located. Therefore, the rate of VAT applicable to traders from outside the State that trade in the supply, installation and monitoring of emergency alarm systems, is the same as the VAT rate for domestic traders. There is no registration threshold for foreign traders so VAT is accountable on all supplies regardless of a foreign trader's turnover in the State.
Where a monitoring service only is supplied from outside the State to a business in the State (including supplies to most statutory bodies), the place of supply is the State and the Irish VAT rate applies, while for business-to-consumer supplies of alarm monitoring services, foreign VAT is chargeable at the applicable rate in the country of the supplier. However, with effect from 1 January 2015, as a result of changes in EU VAT law, these supplies to ordinary consumers will be subject to VAT in the Member State of the consumer, and the Irish VAT rate will apply.
68. Deputy Michael McGrath asked the Minister for Finance the position regarding the living city initiative; when he expects the scheme to commence; the details of the operation of the scheme; the exact geographic areas to which it will apply; and if he will make a statement on the matter. [31987/14]
Amharc ar fhreagraOfficials from my Department have held preliminary discussions with the relevant local authorities to identify the areas of the six cities, Cork, Dublin, Galway, Kilkenny, Limerick and Waterford, which might fall within the scope of the scheme. Each of the local authorities have now submitted proposals on the areas which they believe should be included. Further discussions will be held in due course.
An application for EU State Aid approval has been submitted and my officials are in contact with officials from the European Commission. The Initiative cannot be implemented until EU State Aid approval has been received. Similarly, I will not be announcing the areas to be designated until this approval has been received and the initiative is to be commenced. It is important to note that I do not see this as a wide-spread Initiative, as it is targeted at those buildings in areas which are most in need of attention.
69. Deputy Seán Ó Fearghaíl asked the Minister for Finance if he will provide, in tabular form, those Acts currently in force for which he has lead responsibility that have parts or sections yet to be formally commenced; the details or purpose of same; and if he will make a statement on the matter. [32003/14]
Amharc ar fhreagraThe following are the details of legislative provisions passed by the Oireachtas since 2011 but which are not yet formally commenced which I, as Minister for Finance, have lead responsibility:
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Finance Act 2011 |
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Provision |
Purpose |
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S. 49(1) |
Section 49(1) makes provision for amendments which would require remote bookmakers and betting intermediaries to be subject to betting duty. This section will be commenced following the enactment of the Betting (Amendment) Bill 2013. |
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S. 60(1) (c) |
Section 60(1) (c) amends the VAT Consolidation Act 2010, in relation to the VAT exemption for bets and commission. This section will be commenced following the enactment of the Betting (Amendment) Bill 2013. |
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Finance Act 2012 |
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Provision |
Purpose |
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S. 20(d) |
S. 29 (d) amends Section 667C of the Taxes Consolidation Act 1997 and allows for stock relief for registered farm partnerships. The Department is awaiting the finalisation of a Statutory Instrument by the Department of Agriculture, Food and the Marine which will commence this section. |
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Credit Union and Co-operation with Overseas Regulators Act 2012 |
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Provision |
Purpose |
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Sections 8, 10, 11, 12, 13, 30, 38 and corresponding items in Schedule 1 of the Act |
The recommendations of the Commission on Credit Unions for a Tiered Regulatory Approach will see some credit unions taking on a more sophisticated business model with increased regulatory requirements. Seven sections will be commenced in tandem with the Tiered Regulatory Approach and will give the Registrar of Credit Unions the power to introduce regulations that are effective and proportionate having regard for the nature, scale and complexity of a credit union. The structure of the tiered regulatory approach has not yet been agreed. A preliminary Consultation Process has just finished, the purpose of which was to seek views from credit unions and other sector stakeholders on: the proposed approach to tiering, the high level operation of the tiers, including the activities and services proposed for credit unions in each tier; and the appropriate timing for the introduction of a tiered regulatory approach for credit unions.
The seven sections of the 2012 Act awaiting commencement are: Section 8 - Savings Section 10 - Borrowing Section 11 - ending Section 12 - Investments Section 13 - Reserves Section 30 Liquidity and stress testing Section 38 Revocation of Statutory Instruments Corresponding items in Schedule 1 of the Act will come into force when the sections above are commenced. |
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Finance Act 2013 |
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Provision |
Purpose |
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S. 21(1) |
Section 21(1) introduces new provisions to ensure that Film Relief tax reliefs will accrue to the producers rather than investors and result in tax savings for the Exchequer. The Department is currently consulting with the Commission on this in regard to compliance with State Aid rules. |
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S. 30 |
Section 30 introduces the Living City Initiative. The Department is currently consulting with the Commission on this in regard to compliance with State Aid rules. |
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S. 31 |
Section 31 introduces a tax scheme for the construction or refurbishment of certain aviation service facilities. The Department is currently consulting with the Commission on this in regard to compliance with State Aid rules. |
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S. 50(1)(c) |
Section 50(1) (c) inserts Section 101B of the Finance Act 1999 requiring mineral oil traders to furnish a "return of oil movements" to the Revenue Commissioners. |
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S. 57(2) |
Section 57(2) amends the Finance Act 2002 in relation to betting duties and the recording requirements of remote book makers and remote betting intermediaries. This section will be commenced following the enactment of the Betting (Amendment) Bill 2013. |
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Finance Act (No. 2) 2013 |
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Provision |
Purpose |
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S. 24 |
Section 24 amends Section 481 of the Taxes Consolidation Act by introducing a new definition of "eligible individual" for relief in investment in films. |
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S. 25(F) |
Section 25(F) inserts Chapter 1A Part 18 into the Taxes Consolidation Act 1997 and provides for a withholding tax for non-resident artistes engaged in a qualifying film. |
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S. 31 |
Section 31 makes minor amendments to Living City Initiative. The intention is for this to be commenced at same time as Section 30 of the Finance Act 2013. The Department is currently consulting with the Commission on this in regard to compliance with State Aid rules. |
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S. 45(1) |
Section 45(1) provides a Capital Gains Tax Entrepreneur Relief. The Department is currently consulting with the Commission on this in regard to compliance with State Aid rules. |
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S. 51(1)(c) |
Section 51(1) (c) inserts Section 82A into the Finance Act 2010 providing a partial relief for from tax on the basis of the biomass content of solid fuel. |
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S. 54(2) |
Section 54(2) amends the Finance Act 2002 in relation to payment arrangements for excise duty payable. This section will be commenced following the enactment of the Betting (Amendment) Bill 2013. |
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S. 66(1) |
Section 66 amends the VAT Consolidation Act 2010 to provide that a reduced VAT rate will apply to the supply of greyhounds, certain horses and to all inseminations services, and to the hire of horses, in accordance with the Judgement in European Court of Justice Case C-108/11. It is proposed to commence this provision shortly, once various administrative arrangements are finalised. |
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S. 70 |
Section 70 provides for a Stamp duty exemption for shares in Enterprise Security Market of the Irish Stock Exchange. The Department is currently consulting with the Commission on this in regard to compliance with rules on state aid. |
70. Deputy Terence Flanagan asked the Minister for Education and Skills the total yearly cost of paying a weekly training allowance of €20 to those who attend SOLAS-funded training programmes; if she will consider reinstating this payment; and if she will make a statement on the matter. [31873/14]
Amharc ar fhreagra71. Deputy Brendan Smith asked the Minister for Education and Skills if she will restore the €20 per week additional training allowance for persons accessing SOLAS-funded training in view of the hardship imposed on many persons due to the withdrawal of this payment; and if she will make a statement on the matter. [31993/14]
Amharc ar fhreagraI propose to take Questions Nos. 70 and 71 together.
The payment of an additional training allowance of €31.80 per week for the long term unemployed was introduced during a period of high employment levels as an incentive for the long term unemployed to participate in former-FÁS training courses. The payment of this allowance was later extended to those persons in receipt of social welfare disability payments to introduce equality of treatment for all people in training. The payment was reduced from €31.80 per week to €20 per week as part of Budget 2011. In the present economic situation this incentive is no longer considered appropriate and as part of Budget 2014 it was decided to cease this payment for all participants commencing courses after 1st January 2014. This change does not apply to persons who commenced a course prior to January 2014 who will continue to receive the long term unemployed bonus payment for the duration of their course. Travel supports continue to be available to participants.
The overall saving arising from this measure, which also applies to the Vocational Training Opportunities Scheme, is estimated at €2.1 million in 2014 and €6.7 million in a full year. This is a decision taken in the context of the overall savings this Department had to find for 2014 and future years. It was taken against a difficult budgetary background and there is no scope to re-visit it.
