Written Answers Nos. 229-249
229. Deputy Paul Lawless asked the Tánaiste and Minister for Finance the current age-related tax supports available to individuals aged 65 and over, including the age tax credit and any remaining exemption mechanisms; and if he will make a statement on the matter. [32851/26]
View answer235. Deputy Paul Lawless asked the Tánaiste and Minister for Finance whether he intends to review age-related tax supports in advance of Budget 2027; and if he will make a statement on the matter. [32857/26]
View answerI propose to take Questions Nos. 229 and 235 together.
There are a range of tax measures available to those aged 65 and over.
These include the following:
Section 464 of the Taxes Consolidation Act (“TCA”) 1997 provides for the Age Tax Credit for individuals aged 65 or over. The credit is due in the year that an individual or their spouse or civil partner reaches the age of 65. The current value of the credit is €245 per year for single individuals or €490 per year for a married couple or civil partners.
Section 188 of the Taxes Consolidation Act (“TCA”) 1997, provides for the age exemption and associated marginal relief for a single individual aged 65 or older or for married couples or civil partners where one person is aged 65 or older. Where the age exemption applies the claimant’s income will be exempt from income tax in that year. The current age exemption limits are €18,000 for a single individual or €36,000 for a married couple or civil partners. The relevant income thresholds may be increased further if the individual or couple have a qualifying child. The thresholds are increased by €575 in respect of both the first and second child, and €830 in respect of each subsequent child.
Marginal relief may be available where the individual’s or couple’s income exceeds the relevant exemption limit but is less than twice that amount. Where the individual’s income is greater than the exemption limit but below twice that limit, the taxpayer is always given the benefit of the more favourable treatment between the use of marginal relief or the normal tax system of credits and bands.
In addition to the above, reduced rates of USC apply for persons aged 70 or older where their total income is €60,000 per annum or less. Furthermore, the State Contributory Pension and the State Non-Contributory Pension are not chargeable to USC or Pay Related Social Insurance (“PRSI”).
Further guidance on the application of the age exemption and marginal relief can be found on Revenue’s website and in Tax and Duty Manual Part 07-01-18, at the following links:
Revenue website: www.revenue.ie/en/personal-tax-credits-reliefs-and-exemptions/marital-and-civil-status/exemption-and-marginal-relief/index.aspx
Tax and Duty Manual: www.revenue.ie/en/tax-professionals/tdm/income-tax-capital-gains-tax-corporation-tax/part-07/07-01-18.pdf
Further details of the tax related supports available for persons aged 65 and over can be found on Revenue’s website at the following link: www.revenue.ie/en/life-events-and-personal-circumstances/older-persons/index.aspx
The current tax arrangements for persons aged 65 or older compare favourably with the tax treatment of the generality of taxpayers.
The Commission on Taxation and Welfare previously reviewed these matters, and further details are set out in the Report of the Commission, available on the Government's website.
As above, persons aged over 65 can avail of the age exemption or the normal tax system of credits and bands.
With the substantial increases to tax credits introduced by the previous Government, the effective entry point to income tax has increased for all taxpayers, including those aged 65 or older. For 2026, the effective entry point to income tax for an individual in receipt of the single person credit, employee/earned income credit and the age credit is €21,225 per annum.
Therefore, depending on their personal circumstances, it may be more beneficial for persons aged over 65 to be taxed under the normal tax system of credits and bands.
I would encourage all taxpayers to ensure that they are availing of the most beneficial tax treatment.
As the Deputy will appreciate, decisions regarding tax incentives and reliefs are normally made in the context of the annual Budget and Finance Bill process. Such decisions must have regard to the sound management of the public finances and my Department's Tax Expenditure Guidelines.
230. Deputy Paul Lawless asked the Tánaiste and Minister for Finance when the age tax credit was last increased; its value at the time of introduction; whether it has been adjusted since 2011; and if he will make a statement on the matter. [32852/26]
View answer231. Deputy Paul Lawless asked the Tánaiste and Minister for Finance the rationale for maintaining the age tax credit at its current level for over a decade despite sustained inflation and rising living costs; and if he will make a statement on the matter. [32853/26]
View answerI propose to take Questions Nos. 230 and 231 together.
The income tax age credit was originally introduced as an income tax age allowance in 1974 and was set at a value of £25 for single or widowed persons and £50 for married couples. As part of a major income tax reform, tax credits replaced most income tax allowances in 2002.
The age tax credit was last increased in Budget 2008 from €275 to €325 for single persons and from €550 to €650 for married couples or civil partnership. As part of the suite of measures to deliver fiscal consolidation in Budget 2011, the age tax credit was amended to €245 for single persons to €490 for married couples or civil partnerships, and it has remained at these values since then.
The current tax arrangements for persons aged 65 or older compare favourably with the tax treatment of the generality of taxpayers. The age tax credit or the age exemption limits and marginal relief are available to persons aged 65 or over. In addition, reduced rates of USC also apply for persons aged 70 or older where their total income is €60,000 or less per annum. Furthermore, the State Contributory Pension and the State Non-Contributory pension are not chargeable to USC or Pay Related Social Insurance.
As the Deputy may be aware, to ease the burden facing average and middle-income earners, over successive Budgets the previous Government substantially increased the entry point to the higher rate of income tax for all earners by €8,700 or c. 25 per cent. The main tax credits have also been increased by €350, or c. 21 per cent. In relation to USC the 2 per cent USC rate band was increased by €6,898, or 34 per cent, from 2020 to 2025. Budgets 2024 and 2025 also cumulatively reduced the 4.5 per cent rate of USC to 3 per cent.
Broadly, the income tax measures implemented over the period of the last Government are expected to be in line with wage growth.
In addition, in Budget 2026 the ceiling of the second USC rate band was further increased by €1,318, from €27,382 to €28,700 per annum.
Therefore, the substantial income tax and USC measures introduced by the previous Government, has helped to ease the burden for all taxpayers with an income tax or USC liability. For 2026, the effective entry point to income tax for an individual in receipt of the single person credit, employee/earned income credit and the age credit is now €21,225 per annum and for married couple is €42,250 per annum.
Finally, as the Deputy will appreciate, decisions regarding tax incentives and reliefs are normally made in the context of the annual Budget and Finance Bill process. Such decisions must have regard to the sound management of the public finances and my Department's Tax Expenditure Guidelines.
232. Deputy Paul Lawless asked the Tánaiste and Minister for Finance the year in which the former age exemption limits for taxpayers aged 65 and over were removed from the income tax system; the rationale for their removal at that time; whether any assessment was carried out on the impact of abolishing these exemption limits on older taxpayers; and if he will make a statement on the matter. [32854/26]
View answer234. Deputy Paul Lawless asked the Tánaiste and Minister for Finance the estimated fiscal cost of restoring the former age exemption limits to their pre-2011 levels, adjusted for inflation; and if he will make a statement on the matter. [32856/26]
View answerI propose to take Questions Nos. 232 and 234 together.
The income tax age exemption limits for taxpayers aged 65 and over are still available and are provided for in section 188 of the Taxes Consolidation Act 1997 (TCA 1997).
The age exemption applies for any year of assessment where an individual is aged 65 years or over and his or her total income does not exceed €18,000 per annum. Where an individual is a married person or civil partner and is jointly assessed to tax, the age exemption will apply where either individual is aged 65 or over and where the couple’s total income does not exceed €36,000 per annum. The relevant income thresholds may be increased further if the individual has a qualifying child. The thresholds are increased by €575 in respect of both the first and second child, and €830 in respect of each subsequent child.
Marginal relief may be available where the individual’s or couple’s income exceeds the relevant exemption limit but is less than twice that amount. Where marginal relief applies the individual or couple is taxed at 40 per cent on all income above the exemption limit to a ceiling of twice the exemption limit. The system of marginal relief ensures that in cases where an individual's or couple’s income rises above the exemption threshold that their net income will not decline, as the 40 per cent income tax rate only applies to the proportion of income above the threshold.
The age exemption thresholds have not been increased in recent years, having last been adjusted in Budget 2011.
However, persons aged over 65 can avail of the age exemption or the normal tax system of credits and bands.
With the substantial increases to tax credits introduced by the previous Government, the effective entry point to income tax has increased for all taxpayers, including those aged 65 or older. For 2026, the effective entry point to income tax for an individual in receipt of the single person credit, employee/earned income credit and the age credit is €21,225 per annum.
Therefore, depending on their personal circumstances, it may be more beneficial for persons aged over 65 to be taxed under the normal tax system of credits and bands.
I would encourage all taxpayers to ensure that they are availing of the most beneficial tax treatment.
I am advised by Revenue that based on the information available for analysis it is not possible to provide an estimate of the fiscal cost of restoring the age exemption limits to their pre-2011 levels, adjusted for inflation. An exercise in modelling adjustments to the age exemption limits has not been carried out and the associated methodology has not been developed that would enable it to provide the information requested.
233. Deputy Paul Lawless asked the Tánaiste and Minister for Finance whether his Department has assessed the cumulative impact of inflation since 2011 on the disposable income of older taxpayers; and if he will make a statement on the matter. [32855/26]
View answerAccording to the Central Statistics Office (CSO) Survey on Income and Living Conditions (SILC), the average household income of households where the head of the household was aged over 65 was €27,821in the reference year 2011. In reference year 2025, the figure was €53,027. This represents a nominal increase in disposable income of over 90 per cent. Over the period 2011 to 2025, consumer prices, as measured by the Harmonised Index of Consumer Prices (HICP) increased by just over 25 per cent. Taking this into account, the increase in disposable income in real (i.e. inflation adjusted) terms over this period is over 52 per cent. Further details on the SILC and HICP are available from the CSO.
Each year the Department of Finance conducts a distributional analysis to examine the impact of proposed tax and welfare measures on a range of household types. This analysis is conducted throughout the decision-making process, and an ex-post distributional analysis of the final budget package is published in ‘Beyond GDP – Quality of Life Assessment’ on Budget day.
More generally, I am confident that the measures introduced in successive budgets by this Government and previous Governments have helped to drive improvements in living standards.
236. Deputy Mairéad Farrell asked the Tánaiste and Minister for Finance further to Parliamentary Question No. 195 of 4 March 2026, the amount of money that will be recouped in tax from the €1.4billion paid out to carers by the Department of Social Protection; and if he will make a statement on the matter. [32971/26]
View answerCarers play a fundamental supporting role in society, and the Government are committed to supporting individuals and families with caring responsibilities. This is acknowledged by the broad range of commitments in the Programme for Government to improving supports for carers.
It is important to state that there has been no change in the Income Tax treatment of Carer’s Allowance and Carer’s Benefit. Carer’s Allowance and Carer’s Benefit are subject to Income Tax but are exempt from Universal Social Charge and Pay Related Social Insurance.
It should be noted that not all carers who are in receipt of Carer’s income will have a tax liability, particularly if their income level is below the taxation threshold, or they have sufficient tax credits to reduce their liability to nil. A person’s tax liability will depend on their individual personal circumstances, income levels and personal credits available to them and their family.
I am advised by Revenue that Income Tax liabilities are assessed in the round and are not calculated separately for each source of income. Various income sources are added together to arrive at a gross income, and then reliefs and deductions are applied to arrive at a taxable income. The various tax rates are then applied to the taxable income figure, having account of their standard rate cut off point, to arrive at a gross liability. Finally, tax credits are deducted from this gross liability to arrive at the net liability, which is the final liability owed. Based on how the income tax system operates, as outlined above, it is not possible to identify a net tax liability associated with one component of income.
As previously noted, the sharing of data on recipients of Carer’s Allowance and Carer’s Benefit by the DSP only commenced on 1 January 2026. Therefore, it is not currently possible to estimate the amount of tax that will be collected in respect of these payments as this will depend on the recipients’ total income and their total tax credits and reliefs for the tax year, which will not be known until the year has concluded and taxpayers are given the opportunity to confirm their incomes, reliefs and credits by way of filing their income tax return.
237. Deputy Aidan Farrelly asked the Tánaiste and Minister for Finance the value of the unclaimed prize bonds registered on the unclaimed prizes database; if he will provide the top ten longest unclaimed prizes; whether interest accrues on unclaimed prizes; and the cost of maintaining and managing unclaimed prizes in the fund. [32975/26]
View answerThe NTMA has informed me that at the end of 2025, the number of unclaimed prizes amounted to €5.35 million. The value of unclaimed prizes is reported in the Prize Bond Company annual report each year.
The top ten longest unclaimed prizes are listed below:
1964, €63.49
1966, €126.97
1966, €126.97
1967, €126.97
1969, €126.97
1969, €126.97
1970, €126.97
1970, €126.97
1970, €126.97
1971, €126.97
Interest was paid on unclaimed prizes up until 2017, when the policy changed to reflect the prevailing negative interest rate environment at the time.
Since 2018, prize winners have the option of having their prize money transferred to their bank account or having their prize money automatically reinvested in new Prize Bonds.
The cost of maintaining and managing unclaimed prizes forms part of the total fee payable to the Prize Bond Company for providing the service. In 2025 the total fee amounted to €12.8 million but the cost of maintaining and managing unclaimed prizes is not disclosed separately.
238. Deputy Darren O'Rourke asked the Tánaiste and Minister for Finance further to Parliamentary Question No. 376 of 16 December 2025, if tariffs are to be introduced; the rate and the date (details supplied); if tariffs will be backdated; if imports will be affected; if there will be 'countervailing duties'; in addition for any further update he has on this matter; and if he will make a statement on the matter. [33003/26]
View answerAs the Deputy is aware, the European Commission launched an anti-dumping investigation in May 2025 into Chinese imports of new pneumatic tyres for passenger cars and light lorries after a complaint was received from the Coalition Against Unfair Tyre Imports on behalf of EU tyre producers. The investigation aims to determine if the Chinese imported tyres are being sold at artificially low prices, causing harm to the EU's domestic tyre industry. Where the investigation confirms dumping, the EU may impose anti-dumping duties on these tyres. The investigation shall be concluded within 14 months of its launch.
While the investigation is ongoing, there is a risk that stockpiles of tyres under investigation may be imported prior to the conclusion of the investigation, thus avoiding any potential anti-dumping duty. To avoid this scenario, the EU advised customers of the possibility that anti-dumping could be applied retrospectively, up to a maximum of nine months after goods are imported.
To ensure that importers do not inadvertently import tyres which might be liable to retrospective anti-dumping duty, each customs administration in the EU is obliged to review all import declarations of goods under investigation. Revenue has reviewed all such declarations in the Revenue import system, AIS, since 29 July 2025, the date from which retrospective duties may be charged.
Revenue has contacted each importer to get written confirmation from them that they are aware of the potential anti-dumping duty charges pending the completion of the EU investigation. This ensures that all importers are aware of the potential additional tax that they may have to pay in the future if the EU applies ADD to these goods retrospectively. The conditions for retroactive collection of duties, if any, will be included in the regulation imposing definitive duties.
I am informed that the EU’s investigation remains ongoing, potentially to July 2026. The Deputy should note that the Department of Foreign Affairs and Trade is the lead Government Department in regard to discussions at meetings on the Trade Defence Measures covering anti-dumping duty, and so may be best placed to provide an update on those discussions.
240. Deputy Emer Currie asked the Tánaiste and Minister for Finance the total amount invested in the Infrastructure, Climate and Nature Fund; the amount of this fund invested in US government bonds; and if he will make a statement on the matter. [33041/26]
View answer241. Deputy Emer Currie asked the Tánaiste and Minister for Finance the total amount invested in the Future Ireland Fund; the amount of this fund invested in US government bonds; and if he will make a statement on the matter. [33042/26]
View answerI propose to take Questions Nos. 240 and 241 together.
I am informed by the National Treasury Management Agency (NTMA) that the Future Ireland Fund (FIF) was valued at approximately €12.7 billion as of 31st December 2025. The Infrastructure, Climate and Nature Fund (ICNF) was valued at approximately €4.1 billion on the same date.
Detailed holdings as at 31st December 2025 have not yet been published for either fund and will be included in the NTMA’s Annual Report, which is due to be published in the coming months.
At 31st December 2024, neither the FIF nor the ICNF held any US government bonds. During 2024, each fund was invested in accordance with their respective interim investment strategies which restricted investments to the following permitted euro-denominated assets:
Sovereign debt, limited to debt issued or guaranteed by a central government in the Euro-Area
Quasi-sovereign debt limited to:
• Debt issued by a region, province, state or city
• Debt issued by an international government organisation
• Debt issued by a government agency, or supranational
Cash
A detailed schedule of investments held by the FIF and the ICNF, as at 31st December 2024, is published in the NTMA’s 2024 Annual Report, which is available on the Agency's website.
243. Deputy Erin McGreehan asked the Tánaiste and Minister for Finance if applications for the disabled drivers and disabled passengers scheme will still be accepted while the new grant-based vehicle adaptation scheme is being developed by the Department of Transport; and if so, whether the eligibility conditions for obtaining a primary medical cert will be broadened given its current strict limitations to six medical criteria. [33228/26]
View answerThe Deputy should note that my Department and I share concerns that the Disabled Drivers and Disabled Passengers Scheme or DDS is no longer fit-for-purpose and believe it should be replaced with a needs-based, grant-led approach for necessary vehicle adaptations that could serve to improve the functional mobility of the individual.
Under the aegis of the Department of the Taoiseach, the sub-group convened to progress the National Disability Inclusion Strategy proposals for a needs-based, grant-aided, modern vehicle adaptation supports to replace the DDS, generated a report that was submitted to the Department of the Taoiseach. In considering this report, it has been proposed that a new grant-based scheme be developed and led by the Department of Transport.
The Department of Transport is beginning the development of this new scheme. The existing DDS remains with the Department of Finance and will continue to be reviewed in the context of new scheme developments by the Department of Transport.
As the Deputy will be aware, when this government took office, we committed to a step change in the delivery of supports and services for people with disability and their families.
Budget 2026 is the first step in delivering on this ambition, providing some €3.83 billion to specialist disability services next year, an unprecedented increase of €618 million, or almost 20%.
This funding will be vital in delivering the National Human Rights Strategy for Disabled People. The commitment to develop a new scheme by the Department of Transport, and in this context review the Disabled Drivers and Disabled Passengers Scheme, are strong commitments in this strategy.
244. Deputy Conor Sheehan asked the Tánaiste and Minister for Finance the position for a landlord who charges below market rent under the Capital Acquisitions Tax Consolidation Act 2003, if a tenant is deemed to have occupied property without paying market rent; if the difference between the rent paid and the market rent is deemed a taxable gift; and if he will make a statement on the matter. [33299/26]
View answer245. Deputy Conor Sheehan asked the Tánaiste and Minister for Finance if he plans to alter section 40 of the Capital Acquisitions Tax Consolidation Act 2003, to examine the fact that rent forbearance is treated as a gift in the period it occurs, potentially creating a tax liability for the tenant; and if he will make a statement on the matter. [33300/26]
View answer246. Deputy Conor Sheehan asked the Tánaiste and Minister for Finance if the Revenue Commissioners can provide guidance to ensure that temporary rent reductions offered to tenants facing financial hardship do not trigger a significant CAT liability on the tenant, acting as a barrier to supporting tenants; and if he will make a statement on the matter. [33301/26]
View answer247. Deputy Conor Sheehan asked the Tánaiste and Minister for Finance if he will formalise into legislation the Revenue Commissioners guidance that allows for adult children to live at home without incurring CAT, given the current financial constraints on young people; and if he will make a statement on the matter. [33302/26]
View answerI propose to take Questions Nos. 244, 245, 246 and 247 together.
I am advised by Revenue that, in accordance with section 40 of the Capital Acquisitions Tax Consolidation Act (CATCA) 2003, where a person has the use, occupation or enjoyment of property, without paying full consideration, they are deemed to take a gift for Capital Acquisitions Tax (CAT) purposes. This gift is deemed to consist of the difference between the amount of any consideration given by the person for the use, occupation or enjoyment of the property and the best price obtainable in the open market for such use, occupation or enjoyment. The person will take a gift in each year that they have the use, occupation or enjoyment of the property without paying full consideration.
Section 40 would apply in circumstances where a person has the use of a property rent free, or for a rent that is less than the rent that would be payable for an equivalent property on the open market. Revenue has published guidance on its website, including illustrative examples, on the CAT treatment that would apply in such circumstances. This guidance is available at www.revenue.ie/en/gains-gifts-and-inheritance/valuation-date-value-certain-benefits/free-use-property-interest-free-loans.aspx.
CAT is a self-assessed tax and it is for the beneficiary of a gift to self-assess the value of the benefit received. The extent to which a charge to CAT arises in respect of any deemed gift under section 40 CATCA 2003 will depend on the specific facts and circumstances, including the nature of the arrangement entered into and the CAT Group threshold available to the beneficiary.
Where a charge to CAT arises under section 40, the small gift exemption may be available to the beneficiary. This provides that a person may receive gifts up to the value of €3,000 from any person in a calendar year without having to pay CAT. Where the value of a gift from a person exceeds €3,000, only the excess is taken into account for calculating CAT.
In relation to PQ 33301/26, Revenue have not raised this matter to date however I will ask my officials to examine.
Revenue has also published guidance in relation to the non-exclusive occupation of the family home by an adult child (including their spouse/partner). This guidance confirms Revenue’s view that such non-exclusive occupation does not give rise to a gift from the owner of the property to the family member. This guidance is available at www.revenue.ie/en/gains-gifts-and-inheritance/documents/cat-treatment-receipts-children.pdf.
Finally, the Deputy should note that any further changes to CAT policy must be considered among various other demands within the overall Budget package, as they have been in the past. In that regard, you should note that the CAT policy is kept under review annually by my officials throughout the Finance Bill cycle.
249. Deputy Catherine Callaghan asked the Tánaiste and Minister for Finance if he will provide a list of all capital projects and programmes funded or overseen under the remit of his Department, and bodies under its aegis, which have been completed on time and within budget in Carlow in each of the past five years, in tabular form; and if he will make a statement on the matter. [33331/26]
View answer250. Deputy Catherine Callaghan asked the Tánaiste and Minister for Finance if he will provide a list of all capital projects and programmes funded or overseen under the remit of his Department, and bodies under its aegis, which have been completed on time and within budget in Kilkenny in each of the past five years, in tabular form; and if he will make a statement on the matter. [33332/26]
View answerI propose to take Questions Nos. 249 and 250 together.
I wish to advise the Deputy that there have been no capital projects or programmes in Kilkenny or Carlow funded or overseen by my Department or Bodies under the Aegis of my Department in the last five years.
