Dáil Éireann Debate, Wednesday - 18 September 2024
201. Deputy Jim O'Callaghan asked the Minister for Finance the estimated full-year cost of increasing the lifetime limit for capital gains tax entrepreneur relief to €5 million; and if he will make a statement on the matter. [36961/24]
Amharc ar fhreagraRevised Entrepreneur Relief is provided for in Section 597AA of the Taxes Consolidation Act 1997. It provides for a reduced rate of Capital Gains Tax of ten percent, with a lifetime limit of €1 million of gains on which relief can be claimed.
Based on the Ready Reckoner (Ready Reckoner www.revenue.ie/en/corporate/information-about-revenue/statistics/ready-reckoner/index.aspx) published by the Revenue Commissioners at end-August, the estimated cost of increasing the lifetime limit on gains to €5 million, in the absence of any behavioural or conditionality changes, would be €115 million for a full year. This estimate is based on 2021 data, the latest currently available for statistical analysis.
As a general point, and as Deputy O’Callaghan will be aware, all proposals for any changes to tax measures are undertaken within the annual Budgetary and Finance Bill process. The Deputy will therefore appreciate that I cannot comment further on any possible changes at this time.
