Mr. Joe Cullen:

Deputy Breathnach raised a similar question on that point in terms of identifying the need for a tax expenditure.

There would be some analysis as to whether tax spending is the best way to address a particular problem or whether it could be done through direct spending as an alternative.

The Deputy mentioned the budget measure to accelerate the return to 100% interest relief for landlords in respect of expenses on loans for the purchase and improvement of premises. There would be a question mark over whether that would be regarded as a tax expenditure or part of a benchmark. On the corporation tax side, it would be normal practice when dealing with company expenses.

This comes back to the €66 billion the Deputy mentioned earlier. Individuals or companies often need to spend money to earn a profit or an income. The interest a person would pay on a loan to purchase a property to be rented out as a business could legitimately be seen as a normal part of business expenses. That would have been the case with that particular relief up to the financial crisis. It was scaled back at that point as a revenue-raising measure, but arguably it could be seen as part of the benchmark system. It is a matter for discussion as to how one wants to view it. The policy decision had already been taken to restore the relief to 100%. The only step being taken in budget 2019 was to accelerate that and bring it forward to 2019 rather than 2020-21. As I say, arguably that would be seen as part of expenditure.