Dáil Éireann Debate, Tuesday - 24 July 2018
257. Deputy Michael McGrath asked the Minister for Finance the number and value of applications approved under the help to buy scheme; the amount of tax refunds issued in 2017 and to date in 2018; and if he will make a statement on the matter. [33865/18]
Amharc ar fhreagra325. Deputy Joan Burton asked the Minister for Finance the cost of the help to buy scheme in 2017 and to date in 2018; the projected full year cost in 2018 and 2019; the number of purchases supported in each year; the projected full year numbers in 2018 and 2019; and if he will make a statement on the matter. [34856/18]
Amharc ar fhreagraI propose to take Questions Nos. 257 and 325 together.
The Help To Buy (HTB) incentive, announced in Budget 2017 (October 2016), is designed to assist first-time buyers with the deposit required to purchase or self-build a new house or apartment to live in as their home.
The incentive provides for a refund of Income Tax and DIRT paid over the previous four tax years, limited to a maximum of 5% of the purchase value up to a value of €400,000. The HTB refund is capped at €20,000.
The incentive is available for the period from 19 July 2016 to 31 December 2019.
The value of approved HTB claims at end 2017 was some €68.9 million, of which €16.7 million represented retrospective claims (for the period 19 July to 31 December 2016). The value of approved HTB claims in 2018 to date is some €35.4 million.
In relation to the number of purchases supported by the incentive, 7,220 claims were approved to the end of June 2018: 4,824 in 2017, and 2,396 from 1 January to the end of June 2018.
These statistics are updated regularly by Revenue and are available at the following link:
https://www.revenue.ie/en/corporate/information-about-revenue/statistics/tax-expenditures/htb/htb-monthly.aspx .
As the Deputies will be aware, my Department has commissioned a cost benefit analysis of the incentive. The analysis is currently underway and is due to be completed in advance of Budget 2019.
