Written Answers Nos. 157-177
157. Deputy Conor Sheehan asked the Minister for Transport his position on passenger services (details supplied); and if he supports the policy objective and ambition of restoring passenger services to this line permanently. [67123/26]
Amharc ar fhreagraAs Minister for Transport, I have responsibility for policy and overall funding in relation to public transport. The National Transport Authority (NTA) has responsibility for the planning and development of public transport infrastructure, including the construction of the temporary station at Adare in County Limerick.
Noting the NTA's responsibility in the matter, I have referred the Deputy's question regarding a permanent passenger service being restored to this line to the NTA for a direct, detailed reply. Please contact my private office if you do not receive a reply within ten days.
Pending this more detailed response I would note that the temporary station at Adare is set to support thousands of spectators travelling to and from the Ryder Cup in September 2027.
The temporary station consists of a platform and external concourse. Construction is expected to take six months and is being progressed alongside works on the reinstatement of the Limerick to Foynes freight line, which is expected to be completed later this year.
I understand that signalling and other works would be required to allow the line to operate regular rail passenger as well as rail freight services.
158. Deputy Conor Sheehan asked the Minister for Transport for an update on the twin tracking of the Limerick to Limerick Junction railway line including an updated construction timeline and estimated completion date. [67122/26]
Amharc ar fhreagraAs Minister of Transport, I have responsibility for policy and overall funding of public transport. The operation, maintenance and renewal of the rail network and stations on the network, including the twin tracking of the Limerick to Limerick Junction railway line, is a matter for Iarnród Éireann in the first instance.
Pending a more detailed response I note that, following the publication of the All-Island Strategic Rail Review in July 2024, my Department, with the support of the European Investment Bank and in conjunction with the Department for Infrastructure in Northern Ireland and rail stakeholders across the island, oversaw the preparation of the Rail Project Prioritisation Strategy. This Strategy was published in December 2025 and outlines the approach to sequencing and optimising the recommendations of the All-Island Strategic Rail Review in the coming years.
In the short-term to 2030, the Prioritisation Strategy specifies a number of 'Early Interventions' to be delivered in the coming years, including new track passing loops and platforms to boost the rail network’s resilience and capacity including, on the Limerick to Limerick Junction line, a second platform at Limerick Junction station. This will support through-services between Cork and Galway via Limerick, and more through movements for Cork to Limerick. It will also reduce the journey time between Limerick and Waterford by approximately 10-minutes. These investments are funded to be fully delivered by 2030 under the NDP.
The Prioritisation Strategy also identifies 'Major Projects' with longer lead-in and development timelines. Among these are line speed and capacity improvements and electrification of the Limerick to Limerick Junction line.
It should be noted that individual programmes and projects referred to within the All-Island Strategic Rail Review and the Rail Project Prioritisation Strategy will be advanced subject to funding and relevant approvals, as required under the Infrastructure Guidelines.
Given Iarnród Éireann's responsibility in this matter, I have referred the Deputy's question to the company for direct, detailed reply. Please contact my private office if you do not receive a reply within 10 working days.
159. Deputy Conor Sheehan asked the Minister for Transport for an update on the provision of park and ride services at Ballysimon, Limerick; and specifically if the NTA have identified a site. [67121/26]
Amharc ar fhreagraAs Minister for Transport, I have responsibility for policy and overall funding in relation to public transport. The National Transport Authority, or NTA, has responsibility for planning and developing Park and Ride sites, and is leading the development and rollout of strategic park and ride sites nation-wide through the Park and Ride Development Office.
The Programme for Government commits to working with local authorities and relevant agencies to develop affordable Park and Ride facilities on the outskirts of major towns and cities. I note the Limerick Park and Ride Strategy identifies a number of sites delivering over 1,000 spaces, including 250 at Ballysimon along the M7/N24 corridor.
Noting the NTA's responsibility in the matter, I have referred the Deputy's question to the NTA for a direct reply. Please contact my private office if you do not receive a reply within 10 working days.
160. Deputy Seán Crowe asked the Minister for Transport the projected annual cost of eliminating all passenger fares on public transportation and funding services solely through public funding. [67120/26]
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. The National Transport Authority (NTA) has responsibility for the regulation of fares charged to passengers in respect of public transport services provided under public service obligation (PSO) contracts.
PSO services support a wide range of Government policy objectives, including climate action, sustainable mobility, regional development, social inclusion, compact growth, economic competitiveness, as well as the accommodation of population growth. These services provide essential access to employment, education, healthcare, and other public services, carrying a record 363.6 million passenger journeys in 2025.
Fare revenue is a vital component to the funding model, representing 35% of total income, allowing the continuation of existing levels of service, the expansion of services under BusConnects, Connecting Ireland and New Town Services, and also the funding of fare initiatives. Fare reductions and the extension of free fares in recent years means that fare revenue has been stagnant.
It is to be noted that the public transport fares in Ireland remain comparatively low due to a range of targeted measures, including the YAC the 90 minute fare and free travel for those aged above 66 or those under in receipt of qualifying payments, plus for children under the age of nine. While these initiatives have improved affordability and accessibility, they also increase reliance on subsidy, and fare revenue remains a vital part of maintaining a financially sustainable PSO model.
Any further enhancement to these fare initiatives would need to be considered through the annual Estimates process, taking account of competing funding demands and wider public transport priorities.
The Government remains fully committed to improving the affordability and accessibility of public transport. The current discounted fare initiatives are designed to help with the cost of living for young people, students and children, encouraging them to start using public transport from an early age, by offering them more affordable and flexible travel options.
In light of the NTA’s responsibility in this area, and in order to provide the estimated costs of measures as requested, I have forwarded the Deputy's question to the NTA for direct reply. Please advise my private office if you do not receive a response within ten working days.
161. Deputy Robert Troy asked the Minister for Transport if his Department will pursue a request from LWR Local Link to the NTA, to provide access to Athlone Bus and Rail Station for local link services (details supplied). [67189/26]
Amharc ar fhreagraAs Minister of State at the Department of Transport with special responsibility for Rural Transport, I have responsibility for policy and overall funding in relation to rural public transport service provision; however, I am not involved in the day-to-day operations.
The National Transport Authority (NTA) has statutory responsibility for securing and monitoring the provision of public passenger transport services nationally, including the Connecting Ireland Rural Mobility Plan and TFI Local Link services. In light of the NTA responsibilities I have referred your question to the NTA for direct reply to you. Please advise my private office if you do not receive a reply within ten working days.
162. Deputy Cathal Crowe asked the Minister for Transport the current status of an application under the road transporters support scheme (RTSS) in the case of a business operating in County Clare (details supplied) where an information discrepancy error was resolved via the official portal prior to the closing date of 7 September 2026; the reason for the delay in processing this payment given that other active operators within the sector have already received their financial support; and if he will make a statement on the matter. [67172/26]
Amharc ar fhreagraThe application referred to by the Deputy was one of approximately 600 applications that required additional verification of the financial information provided during the initial application window.
My Department has received the information sought in respect of this application, and it is now being processed along with the other applications that required further verification of financial information. While not commenting on the outcome for this particular case, I expect that this group of applicants will receive payment in the coming days, where payment is due.
163. Deputy Emer Currie asked the Minister for Transport whether an element of a project (details supplied) will remain part of the overall scheme. [67137/26]
Amharc ar fhreagraAs Minister for Transport, I have responsibility for overall policy and exchequer funding in relation to the National Roads Programme. Under the Roads Acts 1993-2015 and in line with the National Development Plan (NDP), the planning, design and construction of individual national roads is a matter for Transport Infrastructure Ireland (TII), in conjunction with the local authorities concerned. This is also subject to the Infrastructure Guidelines and the necessary statutory approvals. In this context, TII is best placed to advise you regarding the N3 Clonee to M50 Project.
Noting the above position, I have referred your question to TII for a direct reply. Please advise my private office if you do not receive a reply within 10 working days.
164. Deputy Niall Collins asked the Minister for Transport for an update on a payment due to a person (details supplied); and if he will make a statement on the matter. [67194/26]
Amharc ar fhreagraApproximately 120 requests to submit a late application for the Road Transporters Support Scheme were received and have been assessed by my Department. All 120 applicants will be contacted with the outcome of their request by close of business on Friday 25 September 2026.
Where permission to submit a late application is granted, applicants will receive further information on the next steps in the process directly by my Department.
165. Deputy Carol Nolan asked the Minister for Transport if he is aware that the mandatory driver-number validation rules implemented under the Road Traffic and Roads Act 2023 for the Irish Motor Insurance Database (IMID) have created a technical lockout, preventing Irish policyholders from adding visiting family members holding valid non-EU International Driving Permits to their private motor policies; if his Department will establish a digital validation or manual exemption protocol within the NDLS/IMID framework for legally recognized non-EU tourist permits; and if he will make a statement on the matter. [67223/26]
Amharc ar fhreagraAs Minister of State with responsibility for International and Road Transport, Logistics, Rail and Ports, I can confirm that, under section 78A of the Road Traffic Act 1961, as amended, the Motor Insurers’ Bureau of Ireland (MIBI) is responsible for maintaining the Irish Motor Insurance Database (IMID). The data contained in the IMID is provided by motor insurers, brokers, fleet owners and motor traders. It includes policyholder details, vehicle registration numbers and the names of drivers who are authorised to drive vehicles covered by a policy.
Section 78A(2)(f)(ii)(III) of the Act provides that, in the case of drivers who hold a foreign driving licence, the relevant driver identifier may be recorded using the driver number, licence number or another unique identifier, as appropriate.
My Department has not been made aware of any technical issues arising from the operation of these legislative requirements. However, the matter has been raised with MIBI and I await its response.
167. Deputy Ann Graves asked the Minister for Transport whether he stands over his repeated position (details supplied); whether he will honour the commitment confirmed by the Minister’s office on 13 July 2026 to meet with a person to discuss his airspace-safety concerns; whether he can confirm if a specific aviation safety and security audit was undertaken as part of the preparation or passage of the Dublin Airport passenger-cap legislation; and if so, whether that assessment will be published. [67040/26]
Amharc ar fhreagraThe Deputy refers to procedures for the reporting and investigation of ‘unidentified airborne objects encountered by commercial flight crews in Irish-managed offshore or oceanic airspace’.
The framework for the reporting, analysis and follow-up of occurrences in civil aviation in the European Union is established by Regulation (EU) No 376/2014. The Regulation which is directly applicable in the State, obliges Member States to make provision for mandatory and voluntary reporting systems of safety occurrences, and to designate competent authorities for the analysis and follow-up of reports. This framework applies regardless of the nature of the occurrence reported. As such, where an unidentified aerial object, also known as an unidentified aerial phenomenon, anomalous aerial observation or unidentified flying object is reported as a safety-relevant occurrence, it is dealt with through the same framework as any other occurrence in civil aviation.
Under Regulation (EU) 376/2014 aviation personnel, including pilots, are responsible for reporting safety occurrences to their organisation and additionally may elect to report directly to the relevant competent authority. Organisations, in turn, are obliged to submit these reports to the competent authority in their Member State.
In Ireland, the competent authority for the reporting, analysis and follow-up of occurrences in civil aviation is the Irish Aviation Authority. Occurrence reporting obligations under Regulation (EU) 376/2014 are implemented by organisations via their Safety Management Systems (SMS) with organisations submitting reports to the European Co-ordination Centre for Accident and Incident Reporting System (ECCAIRS).
ECCAIRS is a digital platform managed by the EU Aviation Safety Agency supporting Member States’ aviation authorities in collecting, sharing and analysing their safety information.
Reports submitted to ECCAIRS are then followed up as appropriate by the competent authority, which may seek further information if necessary.
Regarding the Dublin Airport (Passenger Capacity) Act 2026, the Dublin Airport passenger cap was not imposed for safety or security purposes. It was set as a planning condition attached to the construction of Terminal 2 in 2007 and extension works to Terminal 1 in 2008, primarily to address surface access issues in place at that time.
I would like to reiterate that aviation is a highly regulated sector, with EU aviation safety and security governed by a robust, centralised framework overseen by the European Union Aviation Safety Agency and enforced through EU legislation. This framework applies, regardless of the number of passengers that use Dublin Airport.
168. Deputy Claire Kerrane asked the Tánaiste and Minister for Finance if he will raise the income limit for those aged 65 years and over when it comes to paying tax on income to allow them to keep more of modest occupational pensions which they paid tax on while working and now do so again, to better support older people. [66369/26]
Amharc ar fhreagraAs the Deputy will be aware, the current thresholds for the income tax age exemption are €18,000 per annum where an individual is aged 65 years or over, and €36,000 per annum for married couples and civil partners, jointly assessed to tax, where either individual is aged 65 or over. The relevant income thresholds may be increased further if the individual has a qualifying child. Additionally, 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.
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 (€245/€490 for single and married persons respectively) or the age exemption limits and marginal relief are available to persons aged 65 or over. 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.
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 and for a married two earning couple in receipt of the married person credit, two employee/earned income credit and the married age credit is €42,450 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.
Finally, as the Deputy will appreciate, it is a longstanding practice of the Minister for Finance not to comment in advance of the Budget on any tax matters which might be the subject of Budget or Finance Bill decisions.
169. Deputy Catherine Callaghan asked the Tánaiste and Minister for Finance whether consideration has been given to the introduction of targeted tax measures to support public houses in view of the ongoing rate of closures, particularly in rural communities; and whether an assessment of the potential effectiveness of such measures has been carried out. [66386/26]
Amharc ar fhreagraThe Department of Finance receives pre-Budget submissions from a wide range of stakeholders in advance of each Budget, and all are given consideration as part of the annual policy cycle.
My Department has received and acknowledged a submission from the Vintners Federation of Ireland outlining a proposal for a payable tax credit linked to the number of draught product kegs purchased by a business, subject to a per premises cap termed the “On-Trade Sustainability Scheme”.
Officials from my Department are considering the proposal and I have met with the VFI and representatives of wider hospitality sector as part of annual Ministerial Pre-Budget engagements for Budget 2027.
Proposals for new tax expenditures are examined by reference to the Department of Finance Tax Expenditure Guidelines, which outline the Government’s approach to when tax expenditures are best used, noting that these narrow the tax base, and how they should be evaluated.
Any tax measure related to the supply of alcohol would need to be considered in line with the Alcohol Structures Directive. In the case of a proposal for a targeted tax incentive consideration must also be given to European State aid requirements. These considerations form part of the work underway by my officials to assess the proposal.
It is important to note that there has been no increase in excise duty rates for alcohol since in 2014. While the retail price of beer has risen over that period, the excise duty has remained unchanged and, therefore, the total tax as a percentage of the retail price of each pint is now lower than it was more than a decade ago.
It is also important to note that it is a longstanding practice of the Minister for Finance not to comment, in advance of the Budget, on any tax matters that might be the subject of Budget decisions.
As a general point, the Government is conscious of the challenges facing all businesses in the current economic climate. The Final Report of the Cost of Business Advisory Forum was published recently, and this report contains 63 recommendations aimed at reducing business costs, strengthening competitiveness and easing regulatory burdens. The Government will give careful consideration to its recommendations and will issue a formal response in due course.
Notwithstanding the above, the matters raised in the submission will continue to inform ongoing policy considerations in the context of the budgetary process.
170. Deputy Erin McGreehan asked the Tánaiste and Minister for Finance if he will introduce a GP infrastructure investment tax relief scheme in Budget 2027, allowing individual GPs and GP partnerships to write off qualifying investment in new or expanded practice premises over a defined period. [66406/26]
Amharc ar fhreagraAs the Deputy will be aware tax policy is under my remit while policy for General Practice is the responsibility of my colleague the Minister for Health.
A Strategic Review of General Practice is currently underway, led by the Department of Health with support from the HSE. The review is examining the issues effecting general practice, including the tax treatment of practices. When completed the review will set out recommended actions for a more sustainable general practice.
I, along with my Department, are responsible for all aspects of tax policy and any potential changes to taxation would have to be considered in the context of the normal Budgetary cycle and the medium-term Budgetary parameters taking into account the Tax Expenditure Evaluation Updated Guidelines.
171. Deputy Pádraig O'Sullivan asked the Tánaiste and Minister for Finance whether he has considered applying a reduced rate of VAT to alcohol-free beers, wines, spirits and other non-alcoholic adult beverages as part of Budget 2027; and whether an assessment has been undertaken of the potential public health benefits of incentivising consumers to choose alcohol-free alternatives. [66591/26]
Amharc ar fhreagraAs the Deputy may be aware, the VAT rating of goods and services is subject to the requirements of the EU VAT Directive with which Irish VAT law must comply. In accordance with the Value-Added Consolidation Act, 2010, the supply of non-alcoholic drinks is generally liable to tax at the standard rate, currently 23 per cent.
The VAT Directive obliges each Member State to have a standard rate of VAT and also allows that a Member State may choose to have up to two reduced rates of VAT which may be applied to certain goods and services i.e. any of those listed in Annex III of the VAT Directive, which includes non-alcoholic beverages. Ireland currently operates two lower rates of VAT, 13.5 per cent and 9 per cent. At present, Ireland applies the 13.5 per cent VAT rate to certain non-alcoholic beverages such as tea, coffee and fruit juices where they are supplied in the course of catering. From 1 July 2026, these non-alcoholic beverages were reduced to 9 per cent where they are supplied in the course of catering. However, supplies of other non-alcoholic beverages such as bottled waters, soft drinks and sports drinks will remain at the standard VAT rate even when provided in the course of catering.
Any suggestion for extending the application of a reduced VAT rate to all non-alcoholic beverages would need to be considered carefully having regard to a range of factors including the impact on Exchequer revenues, and the practical concerns that it would be difficult to administer and would be likely to provide considerable scope for manipulation of the VAT system and opportunities for tax avoidance. It should also be noted that there is no reason to believe that any VAT reduction would be passed to consumers or lead to any change in consumer behaviour.
I will keep these matters under review.
172. Deputy John Lahart asked the Tánaiste and Minister for Finance whether he has considered the introduction of a personal tax relief for gym and swimming pool memberships to encourage greater participation in physical activity and support national public health objectives, and whether his Department has assessed the potential cost and uptake of such a measure. [66626/26]
Amharc ar fhreagra194. Deputy John Lahart asked the Tánaiste and Minister for Finance whether consideration has been given to proposals for a tax incentive on gym and swimming pool memberships as a means of supporting the objectives of the National Swimming Strategy and increasing physical activity levels. [67714/26]
Amharc ar fhreagraI propose to take Questions Nos. 172 and 194 together.
As the Deputy will be aware, the Programme for Government, Securing Ireland’s Future, contains a commitment “consider measures, in conjunction with the Department of Finance, to encourage gym membership and active participation in sport and exercise.”
The tax code already provides for a number of fitness-based measures more generally i.e. the Cycle to Work Scheme and the Accelerated Capital Allowances scheme for Childcare facilities and Fitness Centres which encourages employers to develop childcare facilities and fitness centres onsite for their employees. Furthermore, the private gym sector already receives tax-based public support through a reduced rate of VAT of 9 per cent on membership fees. It is estimated that this reduced rate saves private gym operators and gym members in the order of approximately €30 million per annum.
An exemption from Income Tax and Corporation Tax applies for the income of certain bodies established for the purpose of the promotion of athletic or amateur games or sports where it can be shown to the satisfaction of Revenue that such income is applied solely for those purposes. Any income received and availing of the relief by the sports body must be used for the purpose of promoting the game or sport.
There is also a scheme of tax relief for donations to approved sports bodies for approved projects. This includes tax relief in respect of donations for capital projects such as the purchase, construction or refurbishment of a building or structure for use for sporting activities, the purchase of land to provide sporting facilities.
Officials in my Department considered potential tax measures to support gym and sports membership as part of the annual Tax Strategy Group process last year, in chapter 10 of the Income Tax, Tax Strategy Group - 25/01 paper which is available on my Department's website. After considering the matter, the introduction of an Income Tax relief on gym and sports membership was not recommended at that time.
However, taxation matters are reviewed on an annual basis as part of the budgetary process.
It is a longstanding practice of the Minister for Finance not to comment in advance of the Budget on any tax matters which might be the subject of Budget decisions.
173. Deputy Paul Lawless asked the Tánaiste and Minister for Finance whether any lands owned by an organisation (details supplied) are included on Residential Zoned Land Tax maps; the number and area of such lands; whether Residential Zoned Land Tax has been assessed or is payable in respect of those lands; the amount assessed or payable in each year since the introduction of the tax; whether any exemptions, exclusions, submissions or appeals have been made in respect of those lands; and if he will make a statement on the matter. [66647/26]
Amharc ar fhreagraI am advised by Revenue that the Revenue Commissioners are precluded by law from commenting on the tax affairs of any individual or company. Section 851A of the Taxes Consolidation Act 1997 provides that all taxpayer information is confidential and may be disclosed only in accordance with specific statutory provisions.
The Revenue Commissioners publish statistics on property taxes quarterly on the Revenue website (www.revenue.ie). RZLT statistics are included in this publication.
The statistics are broken down by local authority and include the details of RZLT registrations, returns, deferrals and exemptions claimed for each.
www.revenue.ie/en/corporate/documents/statistics/property-taxes/pt-stats-update-050826.pdf.
174. Deputy David Cullinane asked the Tánaiste and Minister for Finance the number of claims received, resolved and outstanding under schemes managed by the State Claims Agency in each of the years 2016 to 2025 and to date in 2026, by claim category and scheme; the number and value of settlements, awards and other compensation payments made in each year; the associated expenditure on legal costs, expert and professional fees and other ancillary costs, by category; and the total expenditure on claims and associated costs in each year, in tabular form. [66749/26]
Amharc ar fhreagraThe National Treasury Management Agency (NTMA) has informed me, and the Deputy may also be aware, that the State Claims Agency publishes details on it claims management functions in the NTMA Annual Report and Financial Statements.
On this basis the information sought for 2025 can be found in the Annual Report and is publicly available on the NTMA's website.
The relevant State Claims Agency sections of these reports contain information on claims activity, claim categories, schemes, settlements and awards, associated costs, and liabilities by year.
The most recently published Annual Report is available at: www.ntma.ie/annualreport-2025/documents/NTMA-AR25-Eng-Secure.pdf.
To assist the Deputy the relevant SCA information sections are listed below:
• Claims portfolio overview (page 61);
• Claims received and resolved statistics (page 62);
• Mass Action claims information (page 64);
• Costs analysis by scheme and payment type (page 66);
• Active claims and estimated outstanding liability (page 67).
Information relating to earlier years is available in the corresponding State Claims Agency sections of previous NTMA Annual Reports.
Given the time available it has not been possible to produce the tabular information sought for the period from 2016 onwards in time for this response. I will ensure that the information is made available to the Deputy in accordance with the timelines stipulated under Standing Orders.
Information relating to 2026 will be reported on in the NTMA Annual Report 2026, consistent with the Agency's normal annual reporting process.
175. Deputy Joe Neville asked the Tánaiste and Minister for Finance the average waiting period for claim adjudication by the Financial Services and Public Ombudsman. [66762/26]
Amharc ar fhreagraThe Financial Services and Pensions Ombudsman (FSPO) provides an independent, fair, impartial, confidential and free service to resolve complaints by consumers about the conduct of a regulated financial service provider.
For all complaints that closed in 2025 the average time from receipt of complaint to closure was 8.3 months.
For non-tracker mortgage complaints that closed in 2025, the average time from receipt to closure, was 7 months.
More complex complaints, including those requiring a formal adjudication, take longer to resolve. This reflects the fact that adjudications by the FSPO are legally binding.
There is engagement by the FSPO with the parties to the complaint during the formal process and around one third of complaints closed in the formal process in 2025, closed without the need for a legally binding decision.
In total, 96% of complaints resolved by the FSPO in 2025 closed without the requirement for a legally binding decision.
176. Deputy Ann Graves asked the Tánaiste and Minister for Finance to address the taxation issues faced by Irish employees who receive share options as part of their employment via existing unapproved share option schemes; and if he will specifically consider immediate changes to the taxation of unapproved employee options schemes (details supplied). [66781/26]
Amharc ar fhreagraIreland provides a range of share-based remuneration programmes including share options and direct share award schemes. The tax treatment applicable will depend on the specific scheme being offered. Broadly a distinction can be made based on ‘approved schemes’, which benefit from preferential tax treatment where the relevant statutory conditions are met, and ‘unapproved schemes’ which are typically subject to Income Tax, with some exceptions.
Unapproved Schemes
An unapproved share option is a right granted to an employee or director, to acquire shares under a share option arrangement that does not fall within a Revenue approved (tax advantaged) share scheme under the relevant tax legislation. Unlike approved share schemes there are generally no specific legislative restrictions imposed on unapproved share option awards.
For most options, no tax is due at the date of grant of the share option if the market value of the share at this date is the current market value of the shares.
Under section 128 of the Taxes Consolidation Act 1997 (TCA), when the share option is exercised and the shares are acquired, the difference between the price of the share payable and the current value of the share is subject to Income Tax, Universal Social Charge (USC) and Pay Related Social Insurance (PRSI). This is the moment the employee acquires the shares. In general, no employer PRSI is payable on share-based remuneration. Therefore, the gain is not unrealised for Income Tax purposes as the exercise of the share option creates a taxable employment gain based on the difference between the shares market value and the exercise price.
On a subsequent disposal of the shares, the employee may be liable to CGT on the difference between the sales proceeds and the market value of the shares on the date they were acquired.
It should be noted that significant changes were introduced in Finance Act 2023 that resulted in moving the responsibility for the payment of tax in respect of options exercised on or after 1 January 2024, from the individual to his or her employer. From 1 January 2024, the taxation of gains on the exercise of unapproved share options moved from a self-assessment basis (where the person was required to file a return and pay the liability) and became incorporated into the PAYE system. The gain realised is a notional payment by the employer, who is responsible for remitting the Income Tax, USC and PRSI via the PAYE system. If the employee is in receipt of emoluments on the date the notional payment is made or if the emoluments payable on their next pay date, if applicable, are insufficient to cover the tax liability, employers may-
• withhold shares from the employee to fund the acquisition of the shares and the tax due on the event,
• request the amount of tax payable from the employee, or
• pay for the tax liability on the gain realised.
In any case, employers are obliged to remit to Revenue the Income Tax, USC and PRSI due on the gain arising on exercise even if they are unable to withhold the full amount due from the individual’s emoluments.
Share Option Scheme with no Income Tax for Private Companies
Section 128F TCA 1997 provides a targeted regime, for private companies, that only taxes the employee at the point of sale of the shares. This is the Key Employee Engagement Programme (KEEP).
Under KEEP, the gain on exercise of a qualifying share option is exempt from Income Tax, USC and PRSI, with CGT generally arising when the share is subsequently disposed of. The CGT base cost is the price paid for the shares on exercise.
KEEP is confined to Small/Medium Enterprise (SME) companies and carries a number of conditions, including that the option must be granted at not less than market value, held for at least one year before exercise, and exercised within ten years of grant. It is available to full time employees or directors of qualifying SME companies, and there are monetary and company-size limits.
Further information on the tax treatment of unapproved options can be found in Revenue’s Tax and Duty Manual (TDM), Chapter 3 - Unapproved Share Options at the following link: www.revenue.ie/en/tax-professionals/tdm/share-schemes/chapter-03.pdf.
Further information on the Key Employee Engagement Programme (KEEP) can be found in Revenue’s Tax and Duty Manual, Chapter 9 – Key Employee Engagement Programme (KEEP) at the following link: www.revenue.ie/en/tax-professionals/tdm/share-schemes/Chapter-09.pdf
Taxation matters are reviewed on an annual basis as part of the budgetary process.
Finally, it is a longstanding practice of the Minister for Finance not to comment in advance of the Budget on any tax matters which might be the subject of Budget decisions.
177. Deputy Conor D. McGuinness asked the Tánaiste and Minister for Finance the number of enforcement notices issued by the Revenue Commissioners under the residential zoned land tax, by local authority area and year, in tabular form. [66401/26]
Amharc ar fhreagraResidential Zoned Land Tax (RZLT) is an annual self-assessed tax which commenced in 2025. It is charged on 1 February each year and must be paid by the following 23 May.
RZLT applies to land that is zoned as being suitable for residential development, or for a mixture of uses that includes residential use, and is serviced, with certain exceptions. Land will be subject to RZLT if it is included on the relevant local authority’s RZLT maps prepared by each local authority for their respective administrative area. An exception to this is any residential property on the map which is subject to Local Property Tax (LPT).
Revenue provides support to taxpayers subject to RZLT through comprehensive guidance material available on the Revenue website, together with customer service support. This guidance is intended to provide clarity to taxpayers and assist them in meeting their RZLT registration and filing obligations in a timely manner.
RZLT is subject to the standard compliance measures that apply to all taxes and duties within Revenue’s remit. Revenue is actively undertaking compliance activity in respect of RZLT to ensure that taxpayers are meeting their registration and filing obligations and that the tax is being correctly administered.
Returns submitted in respect of RZLT are subject to verification by Revenue to ensure that the information provided is correct and that the relevant statutory criteria have been met, including in relation to any claims made.
As of 18 September 2026, Revenue has issued approximately 250 letters seeking further specific information in relation to site valuations or supporting documentation to substantiate claims for an exemption from, or deferral of, the payment of RZLT covering all local authority areas in which land is situated.
During 2025, Revenue issued 564 filing reminder letters in respect of RZLT. In total, 57 Request for Payment letters and 40 Final Demands for RZLT were issued in 2025. With the exception of Dublin City Local Authority area, where 13 Request for Payment letters and 12 Final Demands issued, the exact number for all other Local Authority areas in which land is situated cannot be provided due to Revenue’s obligation to protect taxpayer confidentiality and Revenue’s statistical disclosure protocols.
There were no referrals to enforcement agencies in respect of RZLT during 2025. This was to allow every opportunity for those liable to meet their obligations on introduction of the new tax.
To date in 2026, Revenue has issued 70 filing reminder letters. Enforcement actions in cases where there is non-compliance with RZLT obligations have also commenced.
Further information on the protocol is available at: www.revenue.ie/en/corporate/information-about-revenue/statistics/about/index.aspx.
