Tuesday, 17 September 2019

Ceisteanna (114)

Pearse Doherty

Ceist:

114. Deputy Pearse Doherty asked the Minister for Finance the projected yield from abolishing the special assignee relief programme for 2020; and the projected full year yield thereafter. [37012/19]

Amharc ar fhreagra

Freagraí scríofa (Ceist ar Finance)

The Deputy will be aware that the relief cost €18.1 million in 2016. 

It is not possible to estimate with any degree of reliability the likely savings that would accrue to the Exchequer in 2020 or in the years beyond that if the SARP were abolished.

The reason for this is that there are currently no data available that would enable such a calculation to be made. The Deputy will be aware that in Finance Bill 2018 I re-imposed an upper salary ceiling of €1 million on the relief with effect of 1 January 2019 for new entrants and for existing beneficiaries of the programme from 1 January 2020. Such data as are available within the system relate to years before 2019 (no cap existed between 2015 and 2019). It would therefore be necessary to assess the cost-saving impact of cap as well as taking account of evolution in the take up of the relief during the current year in order to estimate the savings that might arise in 2020 from the abolition of the programme.

SARP is currently the subject of an independent review, carried out by Indecon Economic Consultants. I expect to receive that review shortly and it will inform any decisions I make in relation to the relief in the context of the forthcoming Budget and Finance Bill.