Written Answers Nos. 267 - 290
267. Deputy Declan Breathnach asked the Minister for Finance if his attention has been drawn to the false figures for the number of Garda breath tests having had an impact on the rising cost of car insurance; and if he will make a statement on the matter. [20004/17]
Amharc ar fhreagraI am aware of the recent public revelation that the number of roadside drink-driving breathalyser tests undertaken nationally between 2011 and early 2016 has been exaggerated by An Garda Síochána. However, I am not aware of any evidence that shows these exaggerated numbers have had an impact on the increases that have been seen in the general cost of motor insurance. Indeed, since the revelation has been made public, CSO figures show that motor insurance costs have levelled month on month since the start of this year.
As part of a Inter-Departmental review of policy in the insurance sector, I established the Cost of Insurance Working Group, chaired by Minister of State Eoghan Murphy T.D. Its recent report on the cost of motor insurance found that the recent increases in motor insurance premiums were due to a number of factors including a cross-industry re-balancing process following a period when premiums were widely under-priced, growth in the frequency and cost of settling claims, and a significant rise in the levels of reserves set aside for claims expected to be paid in the future. For more information on this matter the Deputy should review Chapter 3 of the Report see the following link. http://www.finance.gov.ie/sites/default/files/170110%20Report%20on%20the%20Cost%20of%20Motor%20Insurance%202017.pdf.
268. Deputy Niamh Smyth asked the Minister for Finance if he will review the case of a person (details supplied); his plans to help persons with the rising cost of motor insurance; and if he will make a statement on the matter. [20019/17]
Amharc ar fhreagraAs Minister for Finance, I am responsible for the development of the legal framework governing financial regulation. Neither I nor the Central Bank of Ireland can interfere in the provision or pricing of insurance products, as these matters are of a commercial nature, and are determined by insurance companies based on an assessment of the risks they are willing to accept. This position is reinforced by the EU framework for insurance which expressly prohibits Member States from adopting rules which require insurance companies to obtain prior approval of the pricing or terms and conditions of insurance products. Consequently, I am not in a position to review individual cases nor to direct insurance companies as to the pricing level that they should apply to particular categories of individuals.
However, I do accept that it is possible for the State to play a role in helping to stabilise the market and deal with factors contributing to the cost of insurance. Consequently, I established the Cost of Insurance Working Group and appointed Minister of State Eoghan Murphy as Chair. The Report on the Cost of Motor Insurance was published in January 2017. It contains 33 recommendations and 71 actions which are detailed in an action plan contained in the Report with agreed timelines for implementation.
Finally, the Deputy should note that Insurance Ireland operates a free Insurance Information Service for those who have queries, complaints or difficulties in relation to obtaining insurance. Insurance Ireland can be contacted at feedback@insuranceireland.eu or 01-6761914.
269. Deputy Brendan Griffin asked the Minister for Finance if he will consider providing an annual rebate, similar to the Med 1, on toll fees paid by persons commuting to and from work; the estimated cost to the Exchequer of a 20% rebate; his views on whether the cumulative effect of tolling on certain routes is anti-competitive and anti-worker; and if he will make a statement on the matter. [20049/17]
Amharc ar fhreagraEmployees may claim a tax deduction in respect of (a) the cost of travelling expenses necessarily incurred in the performance of the duties of their employment or office; and (b) the cost of other expenses incurred wholly, exclusively and necessarily in the performance of the duties of their employment. However, these deductions do not ordinarily include the cost of travelling to and from a principal place of work.
In order to encourage the uptake of more sustainable and environmentally friendly transport options the Deputy may wish to note that persons commuting to work can already avail of the TaxSaver scheme in respect of public transport and the cycle to work scheme.
While I appreciate that some people are using cars to travel long distances to their principal place of employment, ultimately it is a matter for individuals to choose the transport option that works best for them, taking into account the tax advantages available where they choose the aforementioned options.
Given the information provided by the Deputy, and on the assumption that he is proposing a rebate of income tax paid, it is not possible to provide a cost for his proposal. Notwithstanding the above, the Deputy appears to be suggesting a broad based relief rather than a targeted tax incentive. In this regard, I would draw the attention of the Deputy to the tax expenditure guidelines issued by my Department, which stipulate that “the key rationale for Government intervention in a market...by way of a tax expenditure...should be the existence of a market failure" and that a tax-based incentive should be more efficient than a direct expenditure measure. A measure such as the one proposed by the deputy does not appear to address a clear market failure in circumstances where alternative taxation based measures are already available.
270. Deputy Brendan Griffin asked the Minister for Finance the timeline for the implementation of the recommendations to reduce motor insurance premiums; the measures which have been implemented to date; the priority of implementation; and if he will make a statement on the matter. [20050/17]
Amharc ar fhreagraThe Cost of Insurance Working Group, chaired by Minister of State Eoghan Murphy T.D., finalised its Report on the Cost of Motor Insurance in December 2016 and it was published on 10 January 2017. The Report makes 33 recommendations with 71 associated actions to be carried out in agreed timeframes, which are clearly set out in an Action Plan. 45 of these action points are due to be implemented by the end of this year with the remainder scheduled for completion before the conclusion of 2018.
Substantial work has already taken place on the implementation of the recommendations by the relevant Government Departments and Agencies. Examples of completed actions include the establishment of the Personal Injuries Commission in January and the issuing of a key aggregated metrics template to insurance undertakings for completion. There is a commitment within the Report that the Working Group will prepare quarterly reports on its progress and my Department will publish the first report on the implementation of the recommendations in the coming weeks. This report will provide an update on the progress to date on the overall implementation of the Report, with a particular focus on action points which were due for completion in the first quarter of 2017.
Meeting the objective of delivering fairer premiums for consumers without unnecessary delay requires the cooperation and commitment of all relevant bodies and stakeholders. While each Department and Agency has its own set of priorities, my Department has continued to work closely with all of the bodies involved, as well as the insurance industry itself, since the publication of the Report to ensure that all the recommendations are implemented in a timely fashion. The increase in the cost of insurance is a major concern for the Government and as a result, the implementation of the recommendations of the Report of the Cost of Motor Insurance is a priority for it.
271. Deputy Mick Wallace asked the Minister for Finance the sales process engaged in by NAMA in respect of Project Nantes; if the process was an open and competitive process; the number of bidders or potential bidders that were involved in different stages in the process; if a restricted number of parties were invited to make offers; the actual number of parties that were invited to make a bid; and if he will make a statement on the matter. [20055/17]
Amharc ar fhreagra272. Deputy Mick Wallace asked the Minister for Finance the sales process engaged in by NAMA in respect of Project Aspen; if the process was an open and competitive process; the number of bidders or potential bidders that were involved in different stages in the process; if a restricted number of parties were invited to make offers; the actual number of parties that were invited to make a bid; and if vendor financing was provided; and if he will make a statement on the matter. [20056/17]
Amharc ar fhreagraI propose to take Questions Nos. 271 and 272 together.
The Deputy will be aware that Section 9 of the NAMA Act provides that NAMA is independent in the performance of its functions and that, under Section 10 of the Act, its primary objective is to obtain the best achievable financial return for the State from its acquired loan portfolio. In this regard, I am advised that NAMA is confident it upheld its mandate on both of these transactions.
I am advised by NAMA that the marketing process for the Project Aspen loan portfolio began in January 2013 when NAMA’s loan sale adviser, Eastdil Secured, approached some 90 prospective investors. 29 prospective investors signed non-disclosure agreements (NDAs) and were provided with access to due diligence material relating to the portfolio. I am advised that 14 investors submitted first round offers by the deadline of 25 February 2013.
I am further advised that NAMA, acting on the advice of its loan sale adviser, agreed that the top three credible bidders be invited to a second round of bidding and that they be provided with access to a detailed electronic data room. I am advised by NAMA that two of the short-listed bidders submitted second round offers by the deadline of 2 April 2013 and that, on the advice of its loan sale adviser, NAMA entered into exclusive discussions with Starwood Capital Group which had submitted the highest bid after an open, transparent and competitive sales process.
I am advised that, on 2 May 2013, NAMA and Starwood Capital Group announced a joint venture relating to the sale of the Project Aspen portfolio. Under the terms of the agreement, NAMA sold the loan portfolio to the new joint venture entity, which was 20% owned by NAMA and 80% owned by a consortium led by Starwood. I am further advised that NAMA provided a senior secured loan (vendor finance) to the joint venture with an initial loan to value of less than 60%. The loan carried a commercial rate of interest and has since been repaid.
With regard to the Deputy's almost identical question on Project Nantes, I am advised that this transaction was in fact a debt refinancing transaction. Under sections 99 and 202 of the NAMA Act, NAMA is legally prohibited from disclosing information relating to its debtors or the assets securing their loans and, accordingly, NAMA is not in a position to disclose any additional information in relation to this transaction.
273. Deputy Mick Wallace asked the Minister for Finance the number of NAMA staff who have taken voluntary redundancies in each of the years from 2010 to 2016 and to date in 2017, in tabular form; the cost associated with same; and if he will make a statement on the matter. [20057/17]
Amharc ar fhreagraAs set out in my Department's Section 227 Review of NAMA in July 2014, the ability of NAMA to obtain the best achievable financial return for the State is heavily dependent on its retention of expertise. That view has been strongly endorsed by the NAMA Board. Given that, I agreed with the NAMA Board in the context of NAMA's accelerated senior debt redemption target and its ancillary residential and commercial development funding activities, that a redundancy programme reflecting public sector norms and also comprising a retention payment element would be introduced to enable NAMA to retain key staff.
Retention payments are only made where staff are departing the organisation under the Agency's redundancy programme. The retention payment for individual staff is dependent on NAMA achieving its targets and on satisfactory individual performance ratings. Redundancy dates are not "voluntary" in the ordinary sense as such dates are pre-agreed with staff as part of NAMA's wind down strategy. Payment will only be made if the staff member was retained and did not leave the organisation until the pre-agreed date.
I am advised by NAMA that since the redundancy and retention scheme was approved by the NAMA Board in late 2015, a total of 91 members of staff assigned to NAMA have been approved for the scheme.
As set out in previous responses to the Dáil, most recently Dáil Question 131 of 31 January 2017, the redundancy element is in keeping with established public sector norms; that is, two weeks statutory pay per year of service, capped at €600 per week, plus three additional weeks of base salary per year of service with an overall cap of two years base salary.
NAMA has also advised that the retention portion of the scheme is being implemented in line with the stipulated parameters, which I agreed with the NAMA Chairman in March 2015, regarding the quantum of any payment under the scheme, the timing of any such payment and employee eligibility under the scheme. The underlying objective of the scheme is to help safeguard NAMA’s performance in line with an orderly wind-down plan.
|
Year |
Number of employees who exited |
Cost |
|
2010 |
0 |
- |
|
2011 |
0 |
- |
|
2012 |
0 |
- |
|
2013 |
0 |
- |
|
2014 |
0 |
- |
|
2015 |
0 |
- |
|
2016 |
50 |
€3.6 million |
|
2017 |
41* |
€3.9 million* |
*the 2017 programme has not yet been finalised as employees continue to exit throughout 2017. To date, 6 employees have left. The above cost is an accrual amount only and will be reflected in the 2016 financial statements.
274. Deputy Brendan Griffin asked the Minister for Finance if he will expand the range of ailments and the degree of disability in order to qualify for the primary medical certificate for automobile purchase; and if he will make a statement on the matter. [20078/17]
Amharc ar fhreagraThe Disabled Drivers and Disabled Passengers (Tax Concessions) Scheme provides relief from VAT and VRT, up to a certain limit, on the purchase of an adapted car for transport of a person with specific severe and permanent physical disabilities, payment of a fuel grant, and an exemption from Motor Tax.
To qualify for the Scheme an applicant must be in possession of a Primary Medical Certificate. To qualify for a Primary Medical Certificate, an applicant must be permanently and severely disabled within the terms of the Disabled Drivers and Disabled Passengers (Tax Concessions) Regulations 1994 and satisfy one of the following conditions:
- be wholly or almost wholly without the use of both legs;
- be wholly without the use of one leg and almost wholly without the use of the other leg such that the applicant is severely restricted as to movement of the lower limbs;
- be without both hands or without both arms;
- be without one or both legs;
- be wholly or almost wholly without the use of both hands or arms and wholly or almost wholly without the use of one leg;
- have the medical condition of dwarfism and have serious difficulties of movement of the lower limbs.
The Senior Medical Officer for the relevant local Health Service Executive administrative area makes a professional clinical determination as to whether an individual applicant satisfies the medical criteria. A successful applicant is provided with a Primary Medical Certificate, which is required under the Regulations to claim the reliefs provided for in the Scheme. An unsuccessful applicant can appeal the decision of the Senior Medical Officer to the Disabled Drivers Medical Board of Appeal, which makes a new clinical determination in respect of the individual. The Regulations mandate that the Medical Board of Appeal is independent in the exercise of its functions to ensure the integrity of its clinical determinations.
The criteria to qualify for the Scheme are necessarily precise and specific. After six months a citizen can reapply if there is a deterioration in their condition.
The Scheme represents a significant tax expenditure. Between the Vehicle Registration Tax and VAT foregone, and fuel grant provided for members of the Scheme, the Scheme represented a cost of €65.1 million in 2016. This does not include the revenue foregone to the Local Government Fund in the respect of the relief from Motor Tax provided to members of the Scheme.
I recognise the important role that the Scheme plays in expanding the mobility of citizens with disabilities and that the relief has been maintained at current levels throughout the crisis despite the requirement for significant fiscal consolidation. From time to time I receive representations from individuals who feel they would benefit from the Scheme but do not qualify under the six criteria. While I have sympathy for these cases, given the scale and scope of the Scheme, I have no plans to expand the medical criteria beyond the six currently provided for in the Disabled Drivers and Disabled Passengers (Tax Concessions) Regulations 1994.
275. Deputy Mick Wallace asked the Minister for Finance the number of transactions completed by NAMA which involved vendor finance; the names of the companies in receipt of vendor finance; the names of the loan asset sales involved; the individual cost of each vendor finance initiative, in tabular form; and if he will make a statement on the matter. [20155/17]
Amharc ar fhreagraI am advised by NAMA that the Agency has, to date, advanced a total of €384m in eight vendor finance transactions involving the sale of commercial property securing its loans. I am advised that four of the loans have now been repaid in full and that the four remaining loans have an outstanding principal balance of €228.5m as at end-2016. Under sections 99 and 202 of the NAMA Act, NAMA is prohibited from disclosing information relating to its debtors or the assets securing their loans and, accordingly, NAMA is not in a position to disclose detailed commercially sensitive information in relation to individual vendor finance transactions.
The vendor finance initiative was introduced by NAMA in 2012 as one of a range of measures to encourage investment in Irish property at a time when there were few transactions in the market and when there was limited finance available.
The Deputy will be aware that Irish market conditions have improved significantly since 2013. This reflects the impact of Ireland’s exit from the Troika programme in late 2013, the major recovery in the Irish economy over recent years, the significant levels of investment in Irish assets by international and domestic investors and by Irish REITs and the increased access to capital that has been provided by international and domestic debt providers.
276. Deputy Róisín Shortall asked the Minister for Finance the number of declarations received by the Revenue Commissioners following the enactment of section 56 of the Finance Act 2016, by source of income and or asset previously undeclared, in tabular form. [20234/17]
Amharc ar fhreagra277. Deputy Róisín Shortall asked the Minister for Finance the tax, interest and penalties received by the Revenue Commissioners following the enactment of section 56 of the Finance Act 2016, by source of income and or asset previously undeclared, in tabular form. [20235/17]
Amharc ar fhreagra278. Deputy Róisín Shortall asked the Minister for Finance the number of criminal prosecutions likely to arise following the implementation of section 56 of the Finance Act 2016 and the failure by persons to bring their affairs up to date by 1 May 2017; if he will allocate additional resources to the Revenue Commissioners to ensure that all persons who have failed to bring their affairs up to date are prosecuted following the precedent set in a case (details supplied); and if prosecutions will be given the highest priority. [20236/17]
Amharc ar fhreagraI propose to take Questions Nos. 276 to 278, inclusive, together.
In my Financial Statement to the House on 11 October 2016 I indicated that I would act to restrict the opportunity for offshore defaulters to use the voluntary disclosure regime with effect from May 2017. In line with this undertaking, section 56 of the Finance Act 2016 provides that, as and from following the voluntary disclosure deadline date, the making of a qualifying disclosure will not be permitted where the tax liabilities involved relate to offshore matters. These matters include accounts held, property situated in, or income or gains arising or accruing in, a country or territory other than the State. Anybody who has tax liabilities of that kind and who has not acted to address them before the deadline faces the prospect of substantially higher penalties, publication in the Quarterly List of Tax Defaulters and possible prosecution.
I am advised by Revenue that, as at 26 April, 532 disclosures relating to offshore matters had been received since 11 October 2016, resulting in payments to Revenue of €13.6 million. 12 of those disclosures, giving rise to payments of €231,543, were received between 11 October 2016 and the enactment of the Finance Act 2016 on 25 December 2016.
I am advised also that, because the deadline of 30 April for making a qualifying disclosure relating to an offshore matter falls on the Sunday of a public holiday weekend, Revenue have decided to extend the period during which they will accept such disclosures until 5.30pm on Thursday 4 May 2017.
A full analysis of disclosures received will be undertaken by Revenue after the deadline for receiving them has passed, and information about them and the related payments received will be made available when that work has been completed.
The international environment is changing, with closer cooperation and information-sharing between tax authorities worldwide aimed at identifying those who seek to hide their profits or gains offshore. Revenue is at the forefront of international developments for Automatic Exchange of Information, which include the OECD’s Common Reporting Standard, the EU’s Directive on Administrative Cooperation and the US Foreign Account Tax Compliance Act initiative. These initiatives will provide Revenue with considerable amounts of data about offshore accounts, structures and assets, and Revenue has advised me that they are committed to making full and effective use of this information to pursue rigorously anyone who attempts to use such means to evade their tax obligations. I am advised also that cases will be investigated with a view to prosecution where the facts and circumstances warrant such a course of action.
279. Deputy Róisín Shortall asked the Minister for Finance the amount of VAT received by the Revenue Commissioners in respect of electronic services provided to unregistered customers resident in other EU states under headings (details supplied); the reason the total amount is included in Exchequer return, rather than being placed in an escrow account before being remitted as he had indicated with regard to a case (details supplied); and the reason no detailed analysis of these VAT payments was included in the monthly publications of Exchequer returns. [20237/17]
Amharc ar fhreagra280. Deputy Róisín Shortall asked the Minister for Finance the expected gain to the Exchequer in 2017 and 2018 arising out of the right to retain a proportion of the VAT paid on certain services provided to unregistered customers in other member states; and the way the loss of this money will be made up from 2019 onwards. [20238/17]
Amharc ar fhreagraI propose to take Questions Nos. 279 and 280 together.
On 1 January 2015 new EU VAT rules came into effect changing the place where VAT is chargeable in respect of all supplies of telecommunications, broadcasting and electronic (TBE) services to consumers. VAT on these services is now chargeable where the consumer is located instead of where the supplier is located. This ensures that the VAT goes to the Member State where the services are used and it removes the incentive for these businesses to locate themselves in low-VAT rate Member States.
As a result of the change, EU and non-EU businesses are required to register and account for VAT in every Member State in which they supply TBE services to consumers or, alternatively, to avail of the optional special scheme known as the Mini One Stop Shop (MOSS). MOSS is a simplification scheme that allows a business engaged in TBE supplies to register in a single Member State, to file a single quarterly return and pay its VAT liability for all Member States through a web portal in the Member State of registration. This enables suppliers to avoid having to register and account for VAT in all the Member States to which they make TBE supplies. Transitional rules for the period 2015-2018 provide that the Member State of registration may retain a percentage of the VAT collected for other Member States, with the retention percentage being 30% in 2015 and 2016 and 15% for 2017 and 2018. Therefore the final retention fee payment in respect to VAT retained by Ireland from VAT revenues collected in respect of supplies to other Member States through the MOSS system for 2018 will be received in Quarter 1 2019.
Regarding Question 20237-17, I am informed by Revenue that the amount of VAT received between January and March 2017 in respect of electronic services provided to customers resident in other EU Member States is provided in the table.
As the majority of MOSS returns and payments are received on a quarterly basis in the following month where the quarterly period has ended, the amounts collected under the MOSS system in April 2017 is not available at this time.
The total VAT collected by Revenue on behalf of other Member States in respect of supplies to the MOSS system is not included in the Exchequer Returns as Ireland is only entitled to retain a percentage of this VAT according to the EU VAT rules. Ireland’s retention fee for Quarter 1 2017 will be included in the Exchequer Returns for May 2017.
As regards Question 20238-17, I am informed by the Revenue Commissioners that it is difficult to reliably estimate the amount of VAT retained by Ireland for 2017 and 2018 because business models can change and businesses can opt out of the MOSS system and register for VAT locally in other Member States. Based on trends so far this year, the amount retained by Ireland could be around €240 million in 2017. However, it is too soon to know whether this pattern will continue.
|
Month |
Country |
Amount Received (€m) |
Amount Retained (€m) |
Amount Due (€m) |
|
Jan |
AT |
7.0 |
0.0 |
0.0 |
|
Jan |
BE |
8.7 |
0.0 |
0.0 |
|
Jan |
BG |
0.5 |
0.0 |
0.0 |
|
Jan |
CY |
0.3 |
0.0 |
0.0 |
|
Jan |
CZ |
2.2 |
0.0 |
0.0 |
|
Jan |
DE |
61.5 |
0.0 |
0.1 |
|
Jan |
DK |
12.5 |
0.0 |
0.0 |
|
Jan |
EE |
0.3 |
0.0 |
0.0 |
|
Jan |
EL |
2.3 |
0.0 |
0.0 |
|
Jan |
ES |
15.2 |
0.0 |
0.0 |
|
Jan |
FI |
4.1 |
0.0 |
0.0 |
|
Jan |
FR |
48.0 |
0.0 |
0.1 |
|
Jan |
GB |
113.4 |
0.1 |
0.3 |
|
Jan |
HR |
0.6 |
0.0 |
0.0 |
|
Jan |
HU |
1.8 |
0.0 |
0.0 |
|
Jan |
IT |
21.6 |
0.0 |
0.0 |
|
Jan |
LT |
0.4 |
0.0 |
0.0 |
|
Jan |
LU |
0.3 |
0.0 |
0.0 |
|
Jan |
LV |
0.4 |
0.0 |
0.0 |
|
Jan |
MT |
0.2 |
0.0 |
0.0 |
|
Jan |
NL |
14.7 |
0.0 |
0.0 |
|
Jan |
PL |
4.1 |
0.0 |
0.0 |
|
Jan |
PT |
2.3 |
0.0 |
0.0 |
|
Jan |
RO |
1.4 |
0.0 |
0.0 |
|
Jan |
SE |
16.4 |
0.0 |
0.0 |
|
Jan |
SI |
0.3 |
0.0 |
0.0 |
|
Jan |
SK |
0.8 |
0.0 |
0.0 |
|
Jan Total |
341.3 |
0.2 |
0.6 |
|
|
Feb |
AT |
0.0 |
2.0 |
5.0 |
|
Feb |
BE |
0.0 |
2.5 |
6.2 |
|
Feb |
BG |
0.0 |
0.2 |
0.4 |
|
Feb |
CY |
0.0 |
0.1 |
0.2 |
|
Feb |
CZ |
0.0 |
0.6 |
1.6 |
|
Feb |
DE |
0.1 |
17.5 |
44.0 |
|
Feb |
DK |
0.0 |
3.7 |
8.9 |
|
Feb |
EE |
0.0 |
0.1 |
0.2 |
|
Feb |
EL |
0.0 |
0.7 |
1.6 |
|
Feb |
ES |
0.0 |
4.4 |
10.8 |
|
Feb |
FI |
0.0 |
1.2 |
2.9 |
|
Feb |
FR |
0.2 |
13.9 |
34.1 |
|
Feb |
GB |
0.1 |
32.2 |
81.1 |
|
Feb |
HR |
0.0 |
0.2 |
0.4 |
|
Feb |
HU |
0.0 |
0.5 |
1.3 |
|
Feb |
IT |
0.0 |
6.3 |
15.3 |
|
Feb |
LT |
0.0 |
0.1 |
0.3 |
|
Feb |
LU |
0.0 |
0.1 |
0.2 |
|
Feb |
LV |
0.0 |
0.1 |
0.3 |
|
Feb |
MT |
0.0 |
0.1 |
0.2 |
|
Feb |
NL |
0.1 |
4.2 |
10.4 |
|
Feb |
PL |
0.0 |
1.2 |
2.9 |
|
Feb |
PT |
0.0 |
0.7 |
1.7 |
|
Feb |
RO |
0.0 |
0.4 |
1.0 |
|
Feb |
SE |
0.0 |
4.8 |
11.6 |
|
Feb |
SI |
0.0 |
0.1 |
0.2 |
|
Feb |
SK |
0.0 |
0.2 |
0.6 |
|
Feb Total |
0.5 |
97.9 |
243.4 |
|
|
Mar |
AT |
0.0 |
0.0 |
0.0 |
|
Mar |
BE |
0.0 |
0.0 |
0.0 |
|
Mar |
BG |
0.0 |
0.0 |
0.0 |
|
Mar |
CY |
0.0 |
0.0 |
0.0 |
|
Mar |
CZ |
0.0 |
0.0 |
0.0 |
|
Mar |
DE |
0.2 |
0.0 |
0.1 |
|
Mar |
DK |
0.0 |
0.0 |
0.0 |
|
Mar |
EE |
0.0 |
0.0 |
0.0 |
|
Mar |
EL |
0.0 |
0.0 |
0.0 |
|
Mar |
ES |
0.0 |
0.0 |
0.0 |
|
Mar |
FI |
0.0 |
0.0 |
0.0 |
|
Mar |
FR |
0.1 |
0.0 |
0.2 |
|
Mar |
GB |
0.3 |
0.0 |
0.0 |
|
Mar |
HR |
0.0 |
0.0 |
0.0 |
|
Mar |
HU |
0.0 |
0.0 |
0.0 |
|
Mar |
IT |
0.0 |
0.0 |
0.0 |
|
Mar |
LT |
0.0 |
0.0 |
0.0 |
|
Mar |
LU |
0.0 |
0.0 |
0.0 |
|
Mar |
LV |
0.0 |
0.0 |
0.0 |
|
Mar |
MT |
0.0 |
0.0 |
0.0 |
|
Mar |
NL |
0.0 |
0.0 |
0.1 |
|
Mar |
PL |
0.0 |
0.0 |
0.0 |
|
Mar |
PT |
0.0 |
0.0 |
0.0 |
|
Mar |
RO |
0.0 |
0.0 |
0.0 |
|
Mar |
SE |
0.0 |
0.0 |
0.0 |
|
Mar |
SI |
0.0 |
0.0 |
0.0 |
|
Mar |
SK |
0.0 |
0.0 |
0.0 |
|
Mar Total |
0.9 |
0.0 |
0.5 |
281. Deputy John Curran asked the Minister for Finance the progress being made on the commitment in the programme for Government to introduce a new tax on sugar sweetened drinks; and if he will make a statement on the matter. [20287/17]
Amharc ar fhreagraAs outlined in Budget 2017, I intend to introduce a tax on sugar sweetened drink in April 2018 which will coincide with the introduction of a similar tax in the UK.
A public consultation process opened on Budget night seeking the views of interested parties on the make up of the tax which ran until 3rd January 2017. Some 30 submissions were received, all of which are being considered and are also available to view on my Department's website together with the public consultation document.
An implementation team, made up of officials from Revenue and my Department, continue to progress the development of the tax. The implementation team has ongoing engagement with stakeholders, including representatives of the soft drinks industry, and I expect further details around the tax to be announced as part of Budget 2018.
282. Deputy Niamh Smyth asked the Minister for Finance if he has received an update from a bank (details supplied) regarding its recent branch closures; the number of redundancies there have been in Arva, Cootehill and Carrickmacross; and if he will make a statement on the matter. [20337/17]
Amharc ar fhreagraFirstly I note with regret that Ulster Bank is closing a significant number of branches with considerable negative impacts on both staff and customers alike. As you would be aware redundancies are a matter for my colleague, the Minister for Jobs, Enterprise and Innovation. I fully appreciate that the decision taken by the bank will be keenly felt in the locations concerned, both by staff and customers. It is my understanding that the bank has been consulting with staff representatives and hopes that the necessary staff reductions can be achieved on a voluntary basis by agreement. I would urge both sides to work together to achieve agreement and to utilise the resources of the State industrial relations apparatus to do this if necessary.
However, I should stress that the Irish Government has no formal role in the commercial decisions of Ulster Bank, or any other bank, as to their future business model. This is a matter for the Board and Management of a bank itself.
The recent Ulster Bank closures are a response to changing ways of banking due to less use of cash, increased use of technology and corresponding reduced visits to branches. That said, I expect that Ulster Bank will do everything that it can to mitigate the impacts of these branch closures on local communities, including technology and the use of alternative means of service delivery. I also expect that the bank will ensure that customers are kept informed about developments and provided with the appropriate assistance to move branches, switch to other banks and avail of alternative means of accessing financial services. The Central Bank will also have a role in ensuring that consumer protection rules are followed.
I understand that in all locations Ulster Bank are committed to working with the local community to ensure a service is maintained. The bank has proposed how it will deal with continuity of service for its customers and this information will be made available to relevant customers. In addition, I understand that the Bank is willing to talk to local representatives about any concerns they might have.
Finally, the continued presence of a viable and active Ulster Bank in the Irish market will be important in fostering competition for banking services. It is vital that businesses and consumers have a range of banking options available when using financial services and accessing credit and that they continually assess their options to ensure that they are getting the best value and service possible.
283. Deputy Robert Troy asked the Minister for Finance if he will provide an exemption from VRT charges for a person (details supplied); and if he will make a statement on the matter. [20491/17]
Amharc ar fhreagraThe relief from the payment of Vehicle Registration Tax (VRT) is provided for under the Finance Act 1992, s.134(1)(a) and Vehicle Registration Tax (Permanent Reliefs) Regulations 1993, Reg 4, (S.I. No. 59/93). In order to qualify for relief an applicant must meet a number of eligibility criteria including the possession and actual use of the vehicle outside the State for at least six months prior to their transfer of residence.
I am advised by Revenue that additional information was requested from the person concerned on 31 March 2017 as part of Revenue’s consideration of an application for relief. This information is still awaited by Revenue and will be considered when it is received.
284. Deputy Michael McGrath asked the Minister for Finance the policies in place for banks dealing with circumstances in which persons who are joint mortgage holders separate and the agreement provides for the mortgage to be in one name only; if the Central Bank has put in place a policy for banks to enable the removal of a person from a mortgage in this instance; and if he will make a statement on the matter. [20500/17]
Amharc ar fhreagraI am informed by the Central Bank that in general both parties to a joint mortgage are jointly and severally liable for the debt. The removal of persons from a mortgage agreement is a matter governed by contract law and the Central Bank is therefore limited in what it can prescribe in this area.
If the Deputy has a particular concern in relation to this issue, and wishes to provide me with more information, I would be happy to make the relevant enquiries.
285. Deputy Seán Haughey asked the Minister for Finance his plans to introduce measures to assist older persons take out insurance policies to cover the cost of funeral expenses which are not too expensive; if this matter was considered by the cost of insurance working group; and if he will make a statement on the matter. [20502/17]
Amharc ar fhreagraAs Minister for Finance, I am responsible for the development of the legal framework governing financial regulation. Neither I nor the Central Bank of Ireland can interfere in the provision or pricing of insurance products, as these matters are of a commercial nature, and are determined by insurance companies based on an assessment of the risks they are willing to accept. This position is reinforced by the EU framework for insurance which expressly prohibits Member States from adopting rules which require insurance companies to obtain prior approval for the pricing or terms and conditions of insurance products.
As part of a general review of insurance policy in 2016 I established a Cost of Insurance Working Group, chaired by the Minister of State, Eoghan Murphy T.D. This Working Group is examining the factors contributing to the increasing cost of insurance and identifying what short, medium and long-term measures can be introduced to help reduce the cost of insurance for consumers and businesses.
The initial focus of the Working Group was the issue of rising motor insurance premiums and its deliberations in this regard culminated in the publication of the Report on the Cost of Motor Insurance in January. Work is ongoing on implementing the 33 recommendations contained in the Report.
In parallel with the above, the Working Group in its second phase is looking at the Employer Liability and Public Liability insurance sectors. This section of work is currently at the consultation stage and it is envisaged that the final results will take the form of an addendum to the existing Report.
There are no plans at this juncture for the Working Group to similarly examine the specific area of insurance for funeral expenses. Nevertheless, my Department will continue to monitor the overall insurance sector, including any significant increases in costs levels, as part of its ongoing policy work.
286. Deputy Brendan Ryan asked the Minister for Finance the way in which it is possible for new home owners to avail of the DIRT incentive for first-time buyers, in view of the fact that the incentive is only payable once the property tax on a home has been paid, even though new homes are exempt from property tax for a period longer than the eligible period of the DIRT incentive. [20512/17]
Amharc ar fhreagraI am advised by Revenue that Section 266A of the Taxes Consolidation Act 1997 provides for refunds of Deposit Interest Retention Tax (DIRT) for first-time buyers who purchase a house or apartment to live in as their home. It also applies to first time buyers who self-build a home to live in.
Refunds can be claimed by a first-time buyer of a house or apartment who purchases or self-builds a property between 14 October 2014 and 31 December 2017. The first-time buyer must not have, either individually or jointly with any other person, previously purchased or built a house or apartment.
In order to make a claim for the DIRT refund the property must be registered for Local Property Tax (LPT) as the refund is processed through the LPT system. It is not required that Local Property Tax has been paid on the property in order to avail of the DIRT refund.
Further information on the DIRT refund scheme is available on Revenue.ie at DIRT refunds for First Time Buyers.
287. Deputy Éamon Ó Cuív asked the Minister for Finance if there is a provision to allow a person retain the tax relief for drivers and passengers with disabilities within the prescribed timelines without clawback in a circumstance in which a person's health has deteriorated so much that it has been necessary to get another specially adapted vehicle for transport and the adaptations to the first vehicle are no longer sufficient; and if he will make a statement on the matter. [20532/17]
Amharc ar fhreagraA vehicle which has benefitted from tax relief under the Drivers/Passengers with Disabilities Scheme must be retained for the minimum period of 2 years or more. There is no provision to enable a person dispose of the vehicle earlier than the prescribed timeline without making a refund of a proportion of the relief already obtained.
However, if further adaptations to the same vehicle could be undertaken to assist the driver/passenger and if the maximum amount of tax relief available has not already been granted, an additional refund of the Value Added Tax incurred on the additional adaptations may be claimed by the person concerned.
288. Deputy Imelda Munster asked the Minister for Finance if his Department will carry out a feasibility study on a tax incentive scheme for the region surrounding Ireland West Knock Airport similar to that put in place for the Shannon Development Zone; if his attention has been drawn to any impediments that would prevent such a scheme from being put in place; if his Department has had contact with the Department of Transport, Tourism and Sport to discuss the possible delivery of such a scheme; and if he will make a statement on the matter. [20611/17]
Amharc ar fhreagraI assume that the Deputy is referring to recommendations made by the Shannon Aviation Business Development Task Force in their final report of 12 November 2012, which is available at http://www.dttas.ie/sites/default/files/node/add/content-publication/Nov%202012%20Report%20of%20Aviation%20Business%20Development%20Task%20Force.pdf.
Following that report two specific measures were introduced, which are available in respect of any airport in the State and not restricted to activities at Shannon. The restriction of any measure to a particular airport or region would require the approval from the European Commission to ensure compliance with State aid rules.
The first of these measures was an accelerated capital allowances scheme for the construction and refurbishment of buildings and structures to be used for the maintenance, repair and overhaul of commercial aircraft and the dismantling of such aircraft for the purposes of salvaging or recycling parts or materials.
The second was the introduction of a stamp duty exemption in respect of enhanced equipment trust certificates for aircraft to assist the aircraft leasing sector.
In relation to the Shannon Development Zone, under section 445 Taxes Consolidation Act 1997, certain trading operations carried on by companies in Shannon Airport entitled these entities to a reduced tax rate of 10%. Certification by the Minister for Finance was required for the activities and the categories included:
- Repair or maintenance of aircraft;
- Trading operations that contributed to the use or development of the airport;
- Trading operations ancillary to the above two categories.
Such reliefs became contrary to EU state aid rules and the specific rules applying to the Shannon Development Zone expired on 31 December 2005.
289. Deputy Brendan Griffin asked the Minister for Finance if he will consider a reduction in capital gains tax in the 2018 budget; and if he will make a statement on the matter. [20823/17]
Amharc ar fhreagraI am advised by Revenue that it is estimated that annual the tax cost for each one per cent reduction in the standard Capital Gains Tax (CGT) rate of 33% is in the region of €25 million.
It is estimated that the tax cost of the annual exemption for individuals (€1,270) was €12m in 2015, the latest year for which full data are available.
Other costings are shown in the Revenue Ready Reckoner available at:
http://www.revenue.ie/en/about/statistics/ready-reckoner.pdf).
I do not have any immediate plans to reduce the rate of CGT or to increase the allowable tax-free annual gain. In common with all taxes, however, CGT is subject to on-going review, in which the rate of tax and all reliefs and exemptions are carefully considered. However, decisions concerning changes to taxes, generally, are taken in the course of the Budgetary and Finance Bill process, and I am sure the Deputy will not expect me to divulge any plans I may have for those at this time.
290. Deputy Seamus Healy asked the Minister for Finance if he will recommend that an urgent amendment to the 2013 Act mentioned by a person (details supplied) be undertaken to give the Central Bank all necessary retrospective powers to compel lenders to implement redress and compensation in respect of failures that occurred prior to the 2013 Act; and if he will make a statement on the matter. [20866/17]
Amharc ar fhreagraStandard legal conventions do not allow for the formal exercise of statutory powers retrospectively. Therefore the Central Bank does not have the statutory power to compel lenders to implement redress and compensation programmes or to set compensation levels in respect of failures that occurred prior to the introduction of the Central Bank (Supervision and Enforcement) Act 2013.
However, notwithstanding the fact that Section 43 of the 2013 Act cannot be construed to have retrospective effect, in accordance with the Tracker Mortgage Examination Framework, the Central Bank has clearly articulated its expectations of lenders to provide appropriate redress and compensation to impacted customers in line with prescribed principles for redress.
This should ensure that, regardless of the year of overpayment, impacted customers would be redressed and compensated, including where the overpayment was made prior to 2013.
Furthermore, as part of the examination process, the Central Bank can challenge the position which a lender may take in relation to particular groups of customers to ensure the fair treatment of tracker mortgage customers.
The Examination framework also requires lenders to establish an independent appeals process to deal with customers who are dissatisfied with any aspect of the redress and compensation offers that they may receive. In addition, impacted customers have the option of bringing a complaint to the FSO or initiating court proceedings.
