Matt Carthy
Ceist:268. Deputy Matt Carthy asked the Minister for Finance if he will publish the Ministerial brief he received following the recent formation of the Government. [2760/25]
Amharc ar fhreagraMinisterial Responsibilities
Ceisteanna (268)
Freagraí scríofa
I wish to advise the Deputy that a briefing document prepared by the Department of Finance was provided to me on my appointment as Minister for Finance. A copy of this document, having regard to the relevant provisions of the Freedom of Information Act 2014, will be available shortly on my Department’s website.
Tax Code
Ceisteanna (269)
Sorca Clarke
Ceist:269. Deputy Sorca Clarke asked the Minister for Finance the steps that are being taken to ensure a level playing field in relation to the hair and beauty service industry and the vast numbers of people working for cash from their homes; and if he will make a statement on the matter. [2787/25]
Amharc ar fhreagraFreagraí scríofa
I am informed by Revenue that tax compliance programmes are kept under constant review to ensure that they are focused on the areas of greatest risk, including risks from the shadow economy. Challenging shadow economy activity and actively restricting opportunities for deliberate tax and duty evasion continues to be an organisational priority for Revenue. Since 2021, a sectoral shadow economy project has been in operation, targeting outdoor visits and customer contacts across a range of business sectors including the hair and beauty service industry mentioned by the Deputy.
In order to get a clear understanding of issues facing the industry, Revenue officers met with representatives from the Irish Hair and Beauty Confederation (HABIC) in June 2022 and with representatives from the Irish Hairdressers Federation (IHF) in June 2024. Specific shadow economy risks for the sector have been identified, utilising all available data and intelligence including returns submitted by taxpayers and third parties, Tax Evasion Reports, social media and other sources. Revenue officers also meet regularly with representative from other State agencies such as the Workplace Relations Commission and the Department of Social Protection, using agreed frameworks to share information on the shadow economy and identify opportunities for collaboration and joint operations.
During the period 2022 to 2024, Revenue has advised me that it completed 792 compliance interventions in addition to 590 appraisals in the hair and beauty sector, generating total yield of €609,421.
Revenue urges businesses in the hair and beauty sector and members of the public to report suspicions of tax and duty evasion to Revenue using one of several channels, such as a Tax Evasion (Shadow Economy Activity) Report Form which can be found on the Revenue website at www.revenue.ie/en/corporate/using-revenue/index.aspx. All reports are treated as confidential.
Tax Code
Ceisteanna (270, 271, 273)
Cathal Crowe
Ceist:270. Deputy Cathal Crowe asked the Minister for Finance if he will consider changing inheritance tax thresholds which in their current form could be considered unfair to individuals who have no children of their own; and if he will make a statement on the matter. [2812/25]
Amharc ar fhreagra
James Geoghegan
Ceist:271. Deputy James Geoghegan asked the Minister for Finance if he is considering any reforms to the existing thresholds relating to capital acquisitions tax to address persons who have no spouse and have no children; and if he will make a statement on the matter. [2830/25]
Amharc ar fhreagra
Noel McCarthy
Ceist:273. Deputy Noel McCarthy asked the Minister for Finance his plans, if any, to increase the inheritance tax threshold for those who are single and without children; and if he will make a statement on the matter. [2904/25]
Amharc ar fhreagraFreagraí scríofa
I propose to take Questions Nos. 270, 271 and 273 together.
Capital Acquisitions Tax (CAT) is a tax which applies to both gifts and inheritances. For CAT purposes, the relationship between the person giving a gift or inheritance (i.e. the disponer) and the person who receives it (i.e. the beneficiary) determines the maximum amount, known as the “Group threshold”, below which CAT does not arise.
In Budget 2025, the Group A threshold was increased from €335,000 to €400,000, Group B from €32,500 to €40,000 and Group C from €16,250 to €20,000.
You should be aware that there would be a significant cost in making substantial changes to the CAT thresholds. The options available for setting CAT thresholds must be balanced against competing demands, and as part of the annual Budget and Finance Bill process.
Question No. 271 answered with Question No. 270.
Tax Code
Ceisteanna (272)
Carol Nolan
Ceist:272. Deputy Carol Nolan asked the Minister for Finance how the planned excise duty on e-cigarettes is to be operated, including the commencement date and details of requirements which will apply to manufacturers, suppliers and retailers of e-cigarettes; and if he will make a statement on the matter. [2833/25]
Amharc ar fhreagraFreagraí scríofa
In order to apply a new national excise duty to electronic cigarettes Chapter 1 of Part 2 of Finance Act 2024 legislates for E-liquid Products Tax (EPT). Essentially, e-liquid products are liquids used in e-cigarettes including refill cartridges for refillable devices.
Under the new law, EPT will apply to both nicotine-containing and non-nicotine-containing e-liquid products. The taxing point will be the first supply of e-liquid product in the State and the tax will follow Revenue’s standard model of self-assessment. Suppliers of e-liquid product will be required to register with Revenue in advance of making a first supply of e-liquid products in the State. Suppliers will be liable to account for and pay the tax. EPT is subject to commencement by Ministerial Order and arrangements are underway to enable the new tax to be commenced and come into effect during 2025.
Revenue are setting up the Information Technology, administrative, operational and compliance systems and processes required to administer and collect the new tax. Further details and guidance regarding EPT – including information for suppliers about registering for EPT and their compliance obligations – will be published by Revenue in the coming months before the new tax is brought into effect.
Question No. 273 answered with Question No. 270.
Departmental Data
Ceisteanna (274)
Pa Daly
Ceist:274. Deputy Pa Daly asked the Minister for Finance to report on the work his Department is carrying out on climate finance; and if he will make a statement on the matter. [2928/25]
Amharc ar fhreagraFreagraí scríofa
Climate finance is a key priority for the Government and for Ireland’s foreign policy. At COP26 in 2021, the Taoiseach announced the goal to provide at least €225 million annually in climate finance to developing countries by 2025. Ireland’s International Climate Finance Roadmap, was published in 2022 setting out pathways as to how this goal could be achieved. The record level of Official Development Assistance allocation for 2025, including over €810 million for the Irish Aid international development programme (a €35 million increase), reinforces Ireland's trajectory toward meeting its €225 million COP26 climate finance pledge. This goal represents an increase of 150% from a baseline of just under €90 million for Climate Finance in 2020.
Ireland’s International Climate Finance Roadmap sets out our strategy and priorities for this rapid scale-up in funding. It builds on Ireland's positive record and established commitment on climate finance, prioritising adaptation measures within nation’s most susceptible to the impacts of climate change. The provision of support to the most impoverished and vulnerable populations, encompassing those residing in Least Developed Countries, Small Island Developing States, and fragile states and communities, remains a core objective. Our efforts are focused on ensuring these groups are not only supported but also empowered to address the multifaceted challenges posed by climate change.
While major emitters, particularly developed countries, have accumulated significantly higher levels of historical emissions, many developing countries and regions, despite their minimal contribution to the climate crisis, are already experiencing its most severe impacts. This historical disparity underscores the need for equitable burden-sharing in climate action, recognising the principle of common but differentiated responsibilities and respective capabilities.
Adaptation is a principal area of focus within our climate finance portfolio, helping countries build resilience and withstand the impacts of climate change. We champion the need for good quality climate finance – prioritising access, effectiveness, gender-sensitivity, transparency and good governance, to ensure that climate finance initiatives address the needs of women and marginalised groups. The Roadmap also expands Ireland’s focus to encompass key related areas including support for the livelihoods of coastal communities, climate and security, and Loss and Damage.
Cognisant of the potentially devastating impact of climate events on a nation's debt repayment capacity, we acknowledge the crucial role of access to climate finance. Consequently, Irish climate finance is predominantly provided in the form of grant aid rather than loans. This funding is disbursed through a variety of channels, encompassing bilateral partnerships, civil society organisations, and multilateral funds, such as the Green Climate Fund (GCF) and the Global Environment Facility (GEF).
We recognise that there is a significant gap between current levels of climate finance and the estimated global investment required for climate action, with significant needs across regions. While public finance is and will continue to be a crucial catalyst, supplementary resources are essential. These include mobilising substantial private capital and broadening the contributor base beyond its established structure.
Our commitment to addressing climate change is underscored by our active and proactive engagement in relevant international fora such as the EU, UN and OECD. This engagement is undertaken not only to contribute to the global climate agenda but also to inform and advance our domestic climate policies and strategic priorities. We look forward to actively engaging in the year ahead.
Question No. 275 answered with Question No. 250.
Departmental Staff
Ceisteanna (276)
Aidan Farrelly
Ceist:276. Deputy Aidan Farrelly asked the Minister for Finance to provide a schedule of special advisors attached to him, as of 29 January 2025; and the official grade and or title held by that special advisor. [2997/25]
Amharc ar fhreagraFreagraí scríofa
I wish to inform the Deputy that I have two Special Advisors. Details are set out below:
Ms Deborah Sweeney; Special Advisor, at the grade of Principal Officer.
Ms Fiona O’Connor; Special Advisor, at the grade of Principal Officer.
EU Directives
Ceisteanna (277)
Pearse Doherty
Ceist:277. Deputy Pearse Doherty asked the Minister for Finance the Government’s position in relation to the draft EU Directive for preventing the misuse of shell entities ATAD III; and if he will make a statement on the matter. [3049/25]
Amharc ar fhreagraFreagraí scríofa
In December 2021, the European Commission published the Unshell Directive, an anti-avoidance proposal that aims to prevent the misuse of shell entities for tax purposes and since then discussions have progressed slowly.
In June 2024, a new proposed approach for the Unshell proposal was presented to Member States in order to try and progress discussions and focus the directive more towards exchange of information. An update on negotiations was provided in the December 2024 EcoFin (Council) report to the European Council on tax issues. The report outlined that some of the most discussed issues have included the following: tax consequences, links with domestic anti-abuse legislation, the scope of excluded entities, minimum substance requirements, rebuttal mechanisms, reduction of administrative burden, tax residency certificates and exchange of information.
The Irish position adopted to date on this file is to support the policy aims of Unshell in tackling the use of shell entities for tax avoidance purposes, and to ensure legitimate business arrangements are not unduly impacted in terms of compliance burden or reputational harm associated with the proposal. In our negotiations, we have aimed to ensure that the compliance burden is not disproportionate to the risk, and/or does not place an undue administrative burden on national tax authorities, which have finite resources.
As the proposal applies only to entities within the EU and impacts intra-EU business structures, it is also important that it does not result in a loss of competitiveness compared to third countries outside the EU. Irish officials will continue to engage constructively on the proposal and will keep me informed on developments during the Polish and future EU Presidencies.
Tax Avoidance
Ceisteanna (278)
Pearse Doherty
Ceist:278. Deputy Pearse Doherty asked the Minister for Finance the rationale for not including PRSI, excise and customs duties under general anti-avoidance rules; and if he will make a statement on the matter. [3050/25]
Amharc ar fhreagraFreagraí scríofa
The general anti avoidance rule (GAAR) is set out in section 811C of the Taxes Consolidation Act 1997. The rule covers a number of taxes and duties including income tax, corporation tax, capital gains tax, capital acquisitions tax and stamp duty. The rule disallows a tax advantage which has arisen as a result of a tax avoidance transaction. It does this having regard to the substance of the transaction, rather than its legal form. This means that, for example, where artificial steps are put into a transaction with the intent of reducing the tax arising, those artificial steps are ignored. The GAAR will not apply where the transaction is a bona fide business transaction that was not arranged primarily to give rise to a tax advantage, or where there has not been a misuse or abuse of a provision.
Revenue acts as the collection agent for PRSI. The governance of PRSI is set out in Social Welfare legislation, not tax legislation. As such it would not be appropriate to apply the general anti avoidance rule to PRSI.
Given the nature of the charge to customs and excise, they do not lend themselves to transactions where the legal form will be significantly different to the substance of the transaction.
In addition, the Deputy might be interested to know that customs duties and excise in Ireland are largely governed by EU law through the Union Customs Code and Directive 2020/262/EC respectively. It is a tenet of EU law that practices which seek to abuse any EU law are prohibited. This is known as the abuse of rights principle. It looks at the “essential aim” of a transaction, similar to the general anti avoidance rule, which considers the “main purpose or one of the main purposes” of a transaction. Any aggressive practices that seek to avoid customs duties or excise can be challenged as falling foul of the abuse of rights principle.
Sovereign Debt
Ceisteanna (279, 280)
Pearse Doherty
Ceist:279. Deputy Pearse Doherty asked the Minister for Finance to provide a breakdown of ownership of Irish sovereign debt including detail of the amount held by any central bank; and if he will make a statement on the matter. [3052/25]
Amharc ar fhreagraPearse Doherty
Ceist:280. Deputy Pearse Doherty asked the Minister for Finance to provide a breakdown of all sovereign debt held by the State within the general government sector including detail of the amount held by the Central Bank; and if he will make a statement on the matter. [3053/25]
Amharc ar fhreagraFreagraí scríofa
I propose to take Questions Nos. 279 and 280 together.
I am answering this Question on the basis that the Deputy is referring to Irish Sovereign Debt only.
At year-end 2024 Gross National Debt (GND) stood at €232.7bn. The table below provides a breakdown of that figure into the various debt components.
|
Gross National Debt |
€bn* |
|
Government Bonds |
141.9 |
|
EFSM/EFSF/SURE Loans |
40.6 |
|
Ireland State Savings |
19.6 |
|
Short-term Paper |
19.4 |
|
Other Medium/Long-term Debt |
5.4 |
|
Borrowing from Ministerial Funds |
5.8 |
|
Total |
232.7 |
Rounding may affect totals.
*Provisional, unaudited figures.
Over €40bn or close to one-fifth of GND is in the form of loans from the European Financial Stabilisation Mechanism (EFSM), the European Financial Stability Facility (EFSF) and the SURE Programme. The EFSM and EFSF loans formed part of the EU-IMF Programme 2010-2013. The SURE Programme loan was drawn down in 2021 to assist in dealing with the employment impact of the COVID-19 pandemic.
The other Medium/Long-term debt category in the table above includes loans from the European Investment Bank and Council of Europe Development Bank.
A further €19.6bn or 8% of the GND is in the form of Ireland State Savings products such as Savings Certificates, Savings Bonds, National Solidarity Bonds and Prize Bonds. The majority of this debt is held domestically by private individuals. Ireland State Savings also includes Post Office Savings Bank (POSB) deposits. While not an explicit component of GND, these funds are mainly lent to the Exchequer as an alternative source of Exchequer funding and liquidity. Including POSB deposits, total State Savings outstanding stood at €24.2bn at end-2024.
Short-term paper debt outstanding at end-2024 was in the form of Exchequer Notes and Central Treasury Notes only. These notes are primarily held by Irish domestic public sector entities, and by extension therefore most of this debt is held by bodies within the General Government sector.
GND also includes borrowings from other funds under the control of the Minister for Finance, namely the Post Office Savings Bank Fund and the Surplus Public Expenditure Monies Account, both of which are classified within the General Government sector.
Of course, most Irish public debt is in the form of Irish Government bonds, which accounted for over 60% of GND at year-end 2024.
While the Central Bank of Ireland (CBI) is the registrar for Irish Government bonds, the way they are settled and registered now does not allow for the identification of individual holders.
However, the CBI publishes some information on holders of Irish Government bonds, disaggregated between resident and non-resident holders (see link below)
www.centralbank.ie/statistics/data-and-analysis/securities-statistics/holdings-of-long-term-irish-government-bonds.
At end-November 2024 resident holders accounted for 49% of bonds outstanding.
Within the resident category, Credit Institutions and the Central Bank are by far the largest holders. This primarily reflects the purchase of bonds under the European Central Bank’s Public Sector Purchase Programme (PSPP) and the Pandemic Emergency Purchase Programme (PEPP).
Central Bank of Ireland book value holdings of Irish government bonds under the PEPP and PSPP at end-2024 was €53.5bn.
Question No. 280 answered with Question No. 279.
European Central Bank
Ceisteanna (281)
Pearse Doherty
Ceist:281. Deputy Pearse Doherty asked the Minister for Finance the amount received in European Central Bank distributions since 2014; and if he will make a statement on the matter. [3054/25]
Amharc ar fhreagraFreagraí scríofa
The Central Bank of Ireland has informed me of the following in relation to the amount it has received.
|
European Central Bank Distributions 2014-2023 in €m |
|
|
|
Annual Accounts 2014 |
14,912 |
|
|
Annual Accounts 2015 |
15,848 |
|
|
Annual Accounts 2016 |
20,379 |
|
|
Annual Accounts 2017 |
20,028 |
|
|
Annual Accounts 2018 |
24,377 |
|
|
Annual Accounts 2019 |
30,492 |
|
|
Annual Accounts 2020 |
37,122 |
|
|
Annual Accounts 2021 |
9,027 |
|
|
Annual Accounts 2022 |
706 |
|
|
Annual Accounts 2023 |
00 - (No profit distribution for 2023) |
|
|
Total Distribution |
172,891 as per annual accounts |
Revenue Commissioners
Ceisteanna (282)
Pearse Doherty
Ceist:282. Deputy Pearse Doherty asked the Minister for Finance the total staffing levels and annual budget for the Revenue Commissioners each year since 2004, in tabular form; and if he will make a statement on the matter. [3055/25]
Amharc ar fhreagraFreagraí scríofa
I am advised by Revenue that the total staffing levels and annual budget for the Revenue Commissioners in each year since 2004, it is set out in the table below:
|
Year |
Gross Annual Budget €000 |
Gross Outturn €000 |
Year End Staffing |
Allowable Public Service Numbers |
|
2004 |
€365,820 |
€365,313 |
6,444 |
6,465 |
|
2005 |
€386,922 |
€386,354 |
6,445 |
6,436 |
|
2006 |
€420,617 |
€420,147 |
6,442 |
6,452 |
|
2007 |
€451,058 |
€448,315 |
6,574 |
6,487 |
|
2008 |
€487,618 |
€484,879 |
6,575 |
6,618 |
|
2009 |
€460,801 |
€460,170 |
6,105 |
6,500 |
|
2010 |
€403,695 |
€401,769 |
6,063 |
6,200 |
|
2011 |
€392,859 |
€391,892 |
5,957 |
5,944 |
|
2012 |
€382,145 |
€381,474 |
5,715 |
5,774 |
|
2013 |
€393,992 |
€393,062 |
5,868 |
5,874 |
|
2014 |
€393,429 |
€385,294 |
5,787 |
5,748 |
|
2015 |
€405,637 |
€401,440 |
5,860 |
5,874 |
|
2016 |
€402,600 |
€397,003 |
6,054 |
5,924 |
|
2017 |
€411,380 |
€410,874 |
6,113 |
6,014 |
|
2018 |
€425,500 |
€424,789 |
6,250 |
6,114 |
|
2019 |
€450,171 |
€449,066 |
6,708 |
6,384 |
|
2020 |
€471,181 |
€467,231 |
6,680 |
6,714 |
|
2021 |
€501,214 |
€488,701 |
6,535 |
7,024 |
|
2022 |
€496,424 |
€491,699 |
6,676 |
7,024 |
|
2023 |
€587,359 |
€585,127 |
6,901 |
7,024 |
|
2024 |
€573,452 |
Pending* |
6,653 |
7,050 |
*Awaiting completion of 2024 Vote 9 Revenue Commissioners Appropriation Account
I am informed by the Revenue Commissioners that it uses targeted recruitment to ensure that it builds and retains internal capacity, talent and leadership, and has the right people and skills in its teams. It fills critical posts based on business requirements across all grades and functional areas and undertakes workforce planning and recruitment as an iterative process. I fully support Revenue's proactive approach in sourcing the skilled professional and technical expertise required to allow it to deliver on its challenging role.
Tax Code
Ceisteanna (283)
Pearse Doherty
Ceist:283. Deputy Pearse Doherty asked the Minister for Finance the total number of both individuals and companies that made use of 541C TCA 1997, known as carried interest, for the most recent year that data is available; and the total revenue raised under this section; and if he will make a statement on the matter. [3056/25]
Amharc ar fhreagraFreagraí scríofa
I understand the Deputy is referring to the taxation of carried interest received by certain venture capital fund managers, as provided for in section 541C of the Taxes Consolidation Act 1997 (‘TCA 1997’).
Section 541C TCA 1997 provides that the share of profits of an investment that a venture fund manager receives for managing an investment in a venture capital fund is deemed to be an amount of chargeable gains, rather than income. These profits are known as “carried interest” and are separate from the profits made by the investors in a venture capital fund. A rate of 15 per cent applies to “carried interest” received by individuals or partnerships and a rate of 12.5 per cent applies to “carried interest” received by companies. In order to qualify for these reduced rates of tax, investments must be made on or after 1 January 2009 and held for a period of at least 3 years from the date of the initial investment. The investments must be made in private trading companies which are engaged in carrying on a business of research, development and innovation activities. “Innovation activities” mean new technological, telecommunications, scientific or business processes. Relief will be given in respect of the total investments of the qualifying venture capital fund. However, relief will only apply to relevant investments in an EEA State (including the United Kingdom).
I am advised by Revenue that the estimated cost of the treatment provided for in section 541C TCA 1997 in 2022, the latest year for which data is available, was €1.1m, reflecting 13 claims across both companies and individuals.
Departmental Data
Ceisteanna (284)
Pearse Doherty
Ceist:284. Deputy Pearse Doherty asked the Minister for Finance the total direct taxation raised from the investments funds sector in 2023; and if he will make a statement on the matter. [3057/25]
Amharc ar fhreagraFreagraí scríofa
There are a range of collective investment vehicles within the investments funds sector, and I am advised by Revenue that it is not possible to separately identify the tax associated with that sector.
However, the aggregate amounts of taxes paid by entities within the investment funds sector, and other entities within the financial and insurance sectors for 2023 is contained in a statistical publication, entitled ‘Revenue net receipts by Sector’, which is available on the Revenue website:
www.revenue.ie/en/corporate/information-about-revenue/statistics/receipts/receipts-sector.aspx.
By way of information for the Deputy, Irish collective investment vehicles (investment funds), which are authorised and regulated by the Central Bank of Ireland, are generally taxed under the gross roll-up regime. This means that the investment undertaking is exempt from tax on the profits it earns on behalf of its unit holders. The profits are allowed to grow on a tax free basis within the fund and are taxed at the level of the investor rather than the fund, as is standard international practice.
Under the gross roll-up regime, investment undertakings are subject to Investment Undertaking Tax (“IUT”). This tax is deducted at source by the investment undertaking and paid over to Revenue on behalf of the unitholder. The amount of exit tax to be deducted is calculated by applying a rate of tax to the gain arising on the chargeable event. One example of a chargeable event that would give rise to IUT is the making of a distribution to a unitholder. In general, IUT does not apply to non-resident investors provided the relevant declarations are in place with the investment undertaking.
Irish Real Estate Funds (“IREFs”) are collective investment undertakings where 25% or more of the value of their assets is derived from real estate in the State. These special types of investment fund have a specific withholding tax applied such that unit holders in an IREF are subject to IREF withholding tax at a rate of 20% on payments made to them by the IREF. As with IUT, the IREF withholding tax is deducted by the IREF and paid to Revenue on behalf of the unit holder. Unlike IUT, non-resident unit holders are also be subject to IREF withholding tax. In some circumstances the non-resident can make a claim to Revenue that the IREF withholding tax can be reduced under the terms of a double taxation treaty. However, if a unit holder in an IREF holds more than 10% of the assets of the IREF, any payment from the IREF will be regarded as from immoveable property and the IREF withholding tax deducted cannot be reduced.
In addition to a 20% IREF withholding tax on distributions, Finance Act 2019 introduced a charge to income tax at the level of the IREF in certain circumstances in order to prevent the use of excessive debt and other payments to reduce distributable profits as an anti-avoidance measure.
For both the gross roll-up regime and the IREF regime, certain categories of investors such as pensions schemes, companies carrying on life business and charities are exempt from IUT and IREF withholding tax provided the appropriate declarations are in place. This exemption is provided as these categories of investor are more generally tax exempt.
Departmental Data
Ceisteanna (285)
Pearse Doherty
Ceist:285. Deputy Pearse Doherty asked the Minister for Finance the total number of funds domiciled in Ireland; the total number of funds domiciled and under administration in Ireland; and if he will make a statement on the matter. [3058/25]
Amharc ar fhreagraFreagraí scríofa
I am informed by the Central Bank of Ireland that, as of September 2024, there were 9,041 funds domiciled in Ireland. The total number of funds under administration in Ireland, including non-Irish funds, is 13,926. The Central Bank has advised that it is not possible to provide a breakdown of these figures by funds domiciled and under administration in Ireland within the time available. However, arrangements will be made to provide the information to the Deputy as soon as this analysis has been completed.
Building on a strong initial offering of fund administration and fund servicing, Ireland has now developed into a global centre of excellence for the funds and asset management industry. Ireland is the second largest domicile for regulated investment funds in the EU and is the market leader for both Exchange Traded Funds (ETFs) and Money Market Funds (MMFs) in Europe. The funds and asset management sector in Ireland directly employs around 19,500 people throughout the country who provide a range of specialist services and activities across the funds ecosystem.
The Funds Review Report, published in October 2024, recognises Ireland’s potential to benefit from continued growth in the funds and asset management sector. It sets out a series of recommendations to ensure that, in pursuit of this growth, Ireland’s funds sector framework remains resilient, future-proofed, supportive of financial stability and a continued example of international best-practice.
Finally, the recently published Programme for Government includes a commitment to progress and publish an implementation plan taking into consideration the Funds Review recommendations to unlock retail investment and opportunities to grow the funds sector in Ireland.
Tax Data
Ceisteanna (286)
Pearse Doherty
Ceist:286. Deputy Pearse Doherty asked the Minister for Finance the number of taxpayer units who may have either underpayments or overpayments for the 2022, 2023 and 2024 tax years respectively; the number who have not yet submitted a tax return; and if he will make a statement on the matter. [3059/25]
Amharc ar fhreagraFreagraí scríofa
At the end of every year, Revenue makes a Preliminary End of Year Statement available to employees. The Preliminary End of Year Statement sets out a provisional tax position, based on information available on Revenue records. It will show whether an employee has paid the correct amount of Income Tax and Universal Social Charge (USC) for the year.
I am advised by Revenue that the final position for PAYE taxpayers can only be quantified when taxpayers submit their tax returns at the end of the year and claim any additional credits or reliefs that may be due or declare any additional income they may have.
To assist taxpayers, balance their tax, Revenue regularly issues letters to taxpayers who according to their Preliminary End of Year Statement, may have either overpaid or underpaid tax in a particular tax year. These letters advise the recipients to submit an Income Tax return to claim any additional tax credits or reliefs that they may be due and/or to declare any additional income they may have received. These letters also remind taxpayers of a four-year time limit in respect of submitting such claims.
Revenue advises that to date 1.2 million PAYE taxpayer units filed an Income Tax return for 2022, 1.1 million have filed for 2023 and 570,000 have already filed for 2024.
I am further advised by Revenue that over 987,000 PAYE taxpayer units, who have paid or are liable to pay tax, have yet to file an Income Tax return for 2022, approximately 1.1 million have yet to file for 2023 and approximately 1.7 million have yet to file for 2024. The analysis of those PAYE taxpayers indicates that 603,000 (61%), 692,000 (63%) and 976,000 (57%) of taxpayer units in 2022, 2023 and 2024 respectively have a balanced tax position.
Of the remainder, 154,000 (16%) taxpayer units in 2022, 156,000 (14%) in 2023 and 238,000 (14%) in 2024 potentially underpaid tax with 230,000(24%) taxpayer units in 2022, 292,000 (23%) in 2023 and 493,000 (29%) in 2024, potentially overpaid tax.
Finally, Revenue advises that these figures relate to PAYE taxpayers only, data is not available in respect of potential overpayments or underpayments for self-assessed taxpayers.
Legislative Reviews
Ceisteanna (287)
Pearse Doherty
Ceist:287. Deputy Pearse Doherty asked the Minister for Finance when he intends to consolidate the Central Bank Acts; and if he will make a statement on the matter. [3060/25]
Amharc ar fhreagraFreagraí scríofa
Preliminary work was carried out on the preparation of a Central Bank Consolidation Bill in 2018.
The project has not significantly advanced due to the need to deal with other national and EU legislative priorities, the resources needed inside and outside the Department to progress such a project including the involvement of the Oireachtas and the scope and extent of possible legislative changes required as part of a Central Bank consolidation process .
Given other priorities, I am not planning to progress the project at this time but the matter is being kept under review.