Written Answers Nos. 26-45
26. Deputy Brendan Griffin asked the Minister for Transport the amount of funding that has been drawn down by Kerry County Council for traffic calming and pavement improvement works at a location (details supplied) in County Kerry; and if he will make a statement on the matter. [18870/22]
Amharc ar fhreagraThe improvement and maintenance of regional and local roads is the statutory responsibility of local authorities, in accordance with the provisions of Section 13 of the Roads Act 1993. Works on those roads are funded from the Council's own resources supplemented by State road grants. The initial selection and prioritisation of works to be funded is also a matter for the local authority.
Kerry County Council applied for funding for traffic calming measures in Boolteens Village under my Department's Safety Improvement Scheme. The Council received two separate allocations of €40,000 in 2020 and €60,000 in 2021, of which €97,251 was drawn down.
27. Deputy Bríd Smith asked the Minister for Transport his views on the costs to date of the BusConnects programme; his views on whether the €90 million spent to date under non-bus vehicle-related headings is good value for money; and if he will make a statement on the matter. [18883/22]
Amharc ar fhreagraAs the Deputy is aware, public transport infrastructure projects on the scale of BusConnects require a planning and design phase that can take several years and involve the input of a wide range of people and stakeholders.
The planning and design phase is essential in order to achieve buy-in and support for the project and to bring it successfully through the planning permission process and then on to the construction phase, prior to delivery for the public.
I understand the National Transport Authority has provided the Deputy with the total cost to end 2021 of the BusConnects programme for the Greater Dublin Area. The amount referred to by the Deputy was incurred on the BusConnects programme as part of that planning and design phase and is a necessary part of the overall programme costs.
28. Deputy Bríd Smith asked the Minister for Transport if he has concerns in relation to the awarding of new bus routes to a company (details supplied) by the National Transport Authority, given that the company has operated reduced services on many of its existing networks as a result of staff shortages; and if he will make a statement on the matter. [18884/22]
Amharc ar fhreagraAs Minister for Transport, I have responsibility for policy and overall funding in relation to public transport; however, I am not involved in the day-to-day operations of public transport. Under the Dublin Transport Authority Act 2008 it is a statutory function of the National Transport Authority (NTA) to procure public transport services by means of Public Service Obligation (PSO) contracts.
In light of the Authority's responsibility in this area, I have forwarded the Deputy's specific question in relation to the awarding of new bus routes to Go Ahead Ireland to the NTA for direct reply. Please advise my private office if you do not receive a response within ten working days.
29. Deputy Jackie Cahill asked the Minister for Finance if he will provide a breakdown of the names of all companies supplying private security and cleaning services in all Departments including the cost of private cleaning in each Department; the cost of private security in each Department; the number of private cleaners supplied to each Department to provide these duties as part of these contracts; the number of private security personnel supplied to Departments on foot of these contracts; and if he will make a statement on the matter. [18432/22]
Amharc ar fhreagraI wish to advise the Deputy that I can provide information in respect of my Department only.
As to private security, the Department of Finance does not utilise such services. In terms of cleaning services, the Department uses "Allpro Services" for these purposes. This company has been in situ since 2021, and was appointed following a competitive tendering process carried out in conjunction with the Office of Government Procurement. This contract amounts to some €416,312.59 per annum for the duration of two years, and currently uses some 20 cleaners ( 3 full-time and 17 part-time). The cleaning service is provided on the basis of a shared service to my Department.
30. Deputy Eoin Ó Broin asked the Minister for Finance if he will direct the Revenue Commissioners to investigate black market sales of dogs including canine semen. [18451/22]
Amharc ar fhreagra31. Deputy Eoin Ó Broin asked the Minister for Finance if the Revenue Commissioners has requested information from platforms that advertise dogs for sale on the number of puppies sold each year by each registered dog breeding establishment and or registered seller for the purpose of tax compliance. [18452/22]
Amharc ar fhreagraI propose to take Questions Nos. 30 and 31 together.
In relation to Question No. 30 (Ref: 18451/22) the Deputy is aware that Revenue is independent in relation to its operational activities and I have no role in directing Revenue to investigate any specific sector. I am advised by Revenue that it conducts a full range of compliance interventions to combat all types of tax evasion, focusing on the areas of greatest risk, including risks from the shadow economy. Revenue defines the shadow economy as activity where businesses and individuals engage in practices with the aim of not complying with their legal tax and duties payment obligations as well as certain licensing obligations.Revenue has an ongoing sectoral shadow economy project which includes a programme of targeted outdoor visits and multi-agency interventions across a range of business sectors. Revenue utilises a wide range of data and intelligence including returns submitted by taxpayers and third parties, tax evasion reports, social media and other sources. Revenue also engages with other stakeholders including the Department of Agriculture, Food and the Marine and animal welfare agencies.Local Authorities are responsible for operating the register of Dog Breeding Establishments in their respective areas.
32. Deputy Jim O'Callaghan asked the Minister for Finance if the principal private residence relief on capital gains tax allows persons to maintain principal private residence relief in circumstances in which they allow their home to be used by refugees; and if he will make a statement on the matter. [18497/22]
Amharc ar fhreagraAs the Deputy is probably aware capital gains tax (CGT) is, as a general rule, chargeable on a gain arising on the disposal of an asset at the rate of 33%. The first €1,270 of chargeable gains of an individual in any year are exempt from CGT.
Section 604 of the Taxes Consolidation Act, 1997 provides relief from CGT on the disposal of an individual’s principal private residence, being a dwelling house together with land occupied as its gardens or grounds up to an area (exclusive of the site of the residence) of one acre. If a property was occupied by an individual as his or her principal private residence for all or part of his or her period of ownership, then full or partial relief from CGT will be available where a chargeable gain arises on the disposal of that property. The last 12 months of ownership of the property by the individual is treated as a period of occupation for the purpose of this relief. In addition, it should be noted that an individual cannot have more than one principal private residence at any one time.
For the purpose of this question, it is assumed that it relates to a situation where an individual shares the property they consider to be their principal private residence with refugees, and that rent is not charged.
In answer to the question, the Deputy should be aware that while the availability of the relief depends on the facts of each case, the fact that an individual allows their home to be shared with refugees, in the circumstances outlined above, should not impact on a claim by that individual to principal private residence relief on the ultimate disposal of the property. I am advised by Revenue that there is an existing practice whereby small adjustments to the calculation of principal private residence relief need not be made where, for example, there is a lodger who has a private bedroom in the property but takes his or her meals with the family of the house.
33. Deputy Ged Nash asked the Minister for Finance if a copy of the briefing books provided to the Governor of the Central Bank and accompanying officials in advance of their recent appearance before the Select Committee on Finance, Public Expenditure and Reform, and Taoiseach on 30 March 2022 will be provided; and if he will make a statement on the matter. [18519/22]
Amharc ar fhreagraAs the Deputy will be aware material prepared for Central Bank officials in preparation for their appearance at Oireachtas Committees or any other events are an internal matter for the Bank.
The Central Bank is independent in the performance of its functions and this independence is enshrined in the Treaties of the European Union and in the Statute of the European System of Central Banks.
The Deputy may wish to consider submitting a request for the information to the Bank under the Freedom of Information Act 2014.
34. Deputy Patricia Ryan asked the Minister for Finance the number of Russian nationals or employees of Russian-owned companies that availed of the Special Assignee Relief Programme in each of the past three years; the amount of relief each person received; and if he will make a statement on the matter. [18528/22]
Amharc ar fhreagraI am advised that the information collected by Revenue in relation to nationality for the purposes of the Special Assignee Relief Programme (SARP), relates to the nationality of the relevant employee.
The number of instances where the employer indicated that the relevant employee was a Russian national, for the years 2017 – 2019 (the latest year for which data are available), cannot be provided due to Revenue’s need to protect confidential taxpayer information, as there are fewer than 10 cases involved in any given year.
Separately, and for Deputy's information, the below table sets out information in relation to the number of individual claimants who resided in Russia prior to arrival in the State, based on SARP employer returns, and the total relief claimed by those claimants under the programme. Please note that these individuals may not be Russian nationals.
|
Tax Year |
Number of Claimants |
Cost €m |
|
2017 |
10 |
€0.12 |
|
2018 |
12 |
€0.20 |
|
2019 |
20 |
€0.18 |
35. Deputy Patricia Ryan asked the Minister for Finance if he will introduce reforms to allow anyone who is solely reliant on the State pension to defer payment of the local property tax until the sale of their property; and if he will make a statement on the matter. [18543/22]
Amharc ar fhreagraThe Local Property Tax (‘LPT’) legislation provides for the possibility of deferring the charge to LPT in certain circumstances to assist individuals who may have difficulty paying the tax. The property must be the sole or main residence of the liable person and his or her gross income must be below certain thresholds. A qualifying person may opt to defer, or partially defer, payment of the tax. The deferred LPT remains a charge on the property until it is paid. Property owners claiming a deferral are still required to submit their LPT return for each valuation period and include the deferral claim in the return. Where a person qualifies for a full deferral then 100 per cent of the liability can be deferred. Where a person qualifies for partial deferral, then 50 per cent of the liability can be deferred. Where payment is deferred, interest accrues on the unpaid amount until it is paid (currently 3% per year).
The Finance (Local Property Tax) (Amendment) Act 2021 provides that for the 2022-2025 valuation period the deferral thresholds will be €18,000 for a single owner and €30,000 for a couple. Deferral in respect of half of the LPT payable is possible, where the gross income is above the threshold but less than €30,000 in the case of a single person and €42,000 in the case of a couple. These threshold amounts are above the rates of payment for both non-contributory and contributory state pensions.
Further information and assistance in regard to the LPT deferral option is available via the Revenue LPT Helpline on 01-738 36 26. Revenue have published detailed guidance on LPT deferrals on their website.
36. Deputy Richard Bruton asked the Minister for Finance if a recent move has been made to apply VAT to candles; if any relief can be made for candles used in religious rites; and if he will make a statement on the matter. [18576/22]
Amharc ar fhreagraI am advised by Revenue that the VAT rating of goods and services is subject to EU VAT law, with which Irish VAT law must comply. In general, the VAT Directive provides that all goods and services are liable to VAT at the standard rate unless they fall within Annex III of the Directive, in respect of which Member States may apply either one or two reduced rates of VAT. Ireland, in line with the VAT Directive, also maintains several standstill provisions and derogations that allow it to maintain reduced rates, zero rates and exemptions to certain supplies for historical reasons. These standstill provisions and derogations cannot be extended.
In accordance with one such standstill provision, white (including off-white and cream) cylindrical candles and night-lights were zero rated for VAT purposes. Other candles and night-lights, such as those that are decorated, spiralled, tapered or perfumed, were always liable to VAT at the standard rate.
I introduced an amendment in Finance Bill 2020 to remove the application of the zero rate of VAT to a category of candles and consequently provide for the taxation of all candles at the standard rate of VAT, currently 23%. Following discussions at Committee Stage of the 2020 Bill and having received numerous representations, I decided on a later date for implementing this change on the basis that it would allow the parties involved to amend their pricing and contracts which would already have been set based on the zero rate of VAT. The proposed amendment came into effect on the 1 January 2022 and VAT rate for all candles is the standard rate, currently 23%.
37. Deputy Mairéad Farrell asked the Minister for Finance further to Parliamentary Question No. 279 of 29 March 2022, the amount that has been paid out by the Credit Institutions Resolution Fund by way of resolution actions; the amount that has been recouped by the liquidators during liquidation processes to date; the net cost to the Credit Institutions Resolution Fund; the fees that have been paid during liquidation processes to the appointed liquidators in tabular form; and if he will make a statement on the matter. [18577/22]
Amharc ar fhreagraIn response to the Deputy's question, the Central Bank has provided the following information - set out in tabular form below.
CreditInstitutionsResolutionFund
(1) The amount paid out by the CIRF, by way of resolution actions, to support Credit Unions was provided in the answer to PQ 16583.
(2) In addition to the resolution action amounts, legal fees were also incurred, details of which are contained in the CIRF financial statements. The financial statements are laid before the Houses of the Oireachtas on an annual basis. They can be found at: https://opac.oireachtas.ie/knowvation/app/consolidatedSearch/#search/v=list,c=1,q=title%3D%5B%22Financial%20statements%20of%20the%20Credit%20institutions%20resolution%20fund%22%5D%2Cbrowse2%3D%5B%22Documents%20Laid%22%5D%2CqueryType%3D%5B64%5D,sm=s,l=library3_lib%2Clibrary7_lib,a=t
As per the table the CIRF has not paid any fees to date to any appointed Liquidator. All such fees have been discharged directly from the liquidation.
(3) In relation to Liquidators fees, CIRF has not paid any fees to date to any appointed Liquidator. All such fees have been discharged directly from the liquidation
(4) The amount that has been recouped by the CIRF from the liquidators, during the liquidation processes to date, includes the profit from the sale of the Newbridge Credit Union property (provided in the answer to PQ16583) and the recovery of petitioners’ costs related to the liquidation of 2 credit union following the receipt of a High Court order.
(5) As disclosed in the CIRF financial statements and as provided in the answer to PQ 16583, there is €7.8m of income from the Profit Share from the former Newbridge Credit Union (NCU) loan book. The former NCU loan book is now owned and managed by PTSB. This income is derived from the positive performance of the former NCU loan book and received by the CIRF from PTSB. As this income was not recouped by the CIRF from the liquidators during the liquidation processes, it is not included in the net cost stated in the table above. If it were included, net cost would be €21.1m.
38. Deputy Peter Burke asked the Minister for Finance if he will consider a reduction in VAT on heat pumps and solar panels to encourage the investment by homeowners into same; and if he will make a statement on the matter. [18644/22]
Amharc ar fhreagra39. Deputy Denis Naughten asked the Minister for Finance if he will amend Irish VAT laws in view of recent changes in European Union VAT legislation which allow the Government to abolish VAT on automated external defibrillators; and if he will make a statement on the matter. [18690/22]
Amharc ar fhreagraI propose to take Questions Nos. 38 and 39 together.
Officials in my Department are currently reviewing the options now available to Ireland in setting VAT rates. This will include consideration of the new options available to Member States when setting VAT rates as well as the new limitations introduced on how reduced rates may be applied.
Decisions about tax changes are generally taken in the context of the Budget and, as part of our normal annual Budget preparations, various options for tax policy changes will be considered by the Tax Strategy Group prior to Budget 2023.
40. Deputy Róisín Shortall asked the Minister for Finance if a person can apply for a second VAT reclaim under S.I. No. 428/1981 - Value-Added Tax (Refund of Tax) (No. 15) Order, 1981 for an upgraded appliance if they have already received a VAT reclaim on an older version of this device. [18696/22]
Amharc ar fhreagra41. Deputy Róisín Shortall asked the Minister for Finance if a person can apply for more than one VAT reclaim under SI. No. 428/1981 - Value-Added Tax (Refund of Tax) (No. 15) Order, 1981 on new equipment purchased during the four-year period. [18697/22]
Amharc ar fhreagra42. Deputy Róisín Shortall asked the Minister for Finance if there is a list of approved devices available to him under S.I. No. 428/1981 - Value-Added Tax (Refund of Tax) (No. 15) Order 1981 that he can share with Dáil Éireann. [18698/22]
Amharc ar fhreagraI propose to take Questions Nos. 40, 41 and 42 together.
I am advised by Revenue that the Value Added Tax (Refund of Tax) (No 15) Order 1981 provides for the refund of VAT incurred on qualifying goods for the use of persons with a disability. The Order specifies the degree of disability and defines the qualifying goods as goods which are aids or appliances, including parts and accessories, specially constructed or adapted for use by a disabled person and includes goods which, although not so specially constructed or adapted, are of such a kind as might reasonably be treated as so constructed or adapted having regard to a particular disablement of that person. Where a person establishes to the satisfaction of Revenue that they have paid VAT in respect of a qualifying good and fulfills other conditions set out in the Refund Order they may be entitled to the refund.
An application for a refund of VAT for an upgraded product may be successful if evidence is supplied that the upgraded product is better in assisting with the specific disability than the previous product on which a refund was claimed. The Refund Order does not contain a time limit for the refund application, nor is there a specific list of approved devices which can avail of the refund although items such as domestic aids necessary for eating and drinking, hoists and chairs lift are examples of qualifying goods.
Each claim received by Revenue in relation to this Refund Order is evaluated on its own merits, from the point of view of the extent of the applicant’s disability and the nature of the claim received.
Any application under the Refund Order should be made on Form VAT 61A and submitted to the Revenue Central Repayments Office in Monaghan. Further information is available on the Revenue website www.revenue.ie. Revenue can also assist with specific queries which can be raised through the myAccount function on the Revenue website.
If the Deputy has a specific case in mind she should refer it to my office for referral to Revenue or directly to Revenue.
43. Deputy Éamon Ó Cuív asked the Minister for Finance if it is planned that all superannuation contributions will continue to attract tax relief at the marginal rate of tax except for contributions to the proposed autoenrollment pension scheme after the introduction of the autoenrollment scheme; and if he will make a statement on the matter. [18710/22]
Amharc ar fhreagraThe Minister for Social Protection has announced the details of the Final Design principles for the Automatic Enrolment Retirement Savings System for Ireland.
As set out in the Design Principles for Ireland’s Automatic Enrolment Retirement Savings System available at www.gov.ie/en/publication/27bab-launch-of-the-final-design-of-an-automatic-enrolment-ae-retirement-savings-system-for-ireland/ , the current Tax Relief System will continue to apply for those making private and occupational pension contributions outside the AE system. I do not have any plans to change the current arrangements for tax relief on pension contributions.
44. Deputy Paul Murphy asked the Minister for Finance the estimated amount that would be raised by the imposition of a tax on SUVs weighing over 1800kg by adding €10 per additional kilogram to the retail price of the car, as has been imposed in France (details supplied). [18725/22]
Amharc ar fhreagraI am informed by Revenue that based on vehicle sales in 2021, adding a charge of €10 per additional kilogram over 1,800 kg to VRT category “A” type motor vehicles, excluding electric, hybrids and plug-in hybrids vehicles which are heavier than 1,800 kg, could raise an estimated €11.5m in additional taxes. This assumes no behavioural changes in vehicle acquisitions because of the increased price.
45. Deputy Paul Murphy asked the Minister for Finance the estimated amount that could be raised from a 10% windfall tax on the profits of energy companies; and if he will make a statement on the matter. [18727/22]
Amharc ar fhreagraI am aware that the European Commission has confirmed that EU member states can consider imposing temporary tax measures on windfall profits of energy providers and use the revenue generated to provide consumers with relief from high prices. Officials in my Department and the Department of the Environment, Climate and Communications are evaluating the potential for such a proposal.
With regard to tax generally, the trading profits of companies in Ireland are typically taxed at the standard Corporation Tax rate of 12.5%. Some of the main features of the current regime are its simplicity and that it applies to a broad base. Changing this rate (or imposing additional levies on certain sectors) could have unforeseen consequences. However, on a straightforward mathematical basis and on the assumption that the proposed tax would apply to the taxable profits of all energy companies, including companies that are not currently experiencing additional profits, the yield could be in the region of €60 million. This is estimated based on taxable profit levels in 2020 (the most recent year for which tax returns have been filed) and does not provide for the impact of any potential behavioural changes.
In relation to energy policy, which is the remit of my colleague Minister Ryan, a well-functioning EU-electricity market remains crucial for the integration of our Internal Energy Market and for providing investment signals for the integration of new renewables, which are essential to ultimately break our dependence on fossil fuels. The best long-term approach for Ireland to insulate consumers from volatility on international wholesale energy markets is to invest in energy efficiency and renewable energy. Cutting our dependence on fossil fuels and generating power from our own renewable sources will ensure a cleaner, cheaper energy future in the long term. Electricity and gas retail markets in Ireland operate within a European regulatory regime wherein electricity and gas markets are commercial, liberalised, and competitive. Responsibility for the regulation of the electricity and gas markets is solely a matter for the Commission for Regulation of Utilities (CRU).
The Renewable Electricity Support Scheme (RESS) is Ireland’s flagship policy to deliver on the Government’s target of up to 80% renewable electricity by the end of the decade. Electricity technologies now compete through regular auctions under the RESS as well as through other routes to market such as corporate power purchase agreements. The RESS contains strong consumer protection measures with wholesale market revenues above the auction price returned to electricity consumers through the Public Service Obligation Levy. Renewable energy sources such as wind and solar generation reduce electricity consumer costs by lowering wholesale electricity prices during periods when they are generating power, highlighting the need to accelerate energy system decarbonisation to reduce reliance on fossil fuels.
The war in Ukraine has dramatically concentrated EU efforts to address European dependence on Russian oil and gas through proposed new measures to diversify fossil fuel imports, enhance security of supply, and accelerate energy system decarbonisation to remove regional reliance on fossil fuels as set out in the recent RePowerEU communication. In this regard, the European Commission is working closely with Member States to protect the resilience of Europe’s gas security of supply through solidarity measures. Both the International Energy Agency (IEA) and the EU have stressed that the current situation further strengthens collective resolve to accelerate the clean energy transition, in line with the European Green Deal.
