Joan Burton (Dublin West, Labour)

I thank the Minister for his comprehensive reply. When Deputy Quinn was Minister for Finance, he proceeded with caution in this area because of the legitimate fear that, with the absence of charity legislation, it could be open to abuse. This fear remains. Members are aware of and support the fantastic work done by not-for-profit organisations in a range of activities. However, it is only right to ask about the benefits to charitable organisations under the scheme, and to which charitable organisations those in the self-employed category are donating.

Thankfully, there have been limited scandals involving charities. However, when they have occurred they usually concerned inconsistencies between the charity's objectives and actual spending. In some cases, management and administrative costs have been excessively high. With no accountability, the system is at risk of people who are expert at using tax breaks benefiting themselves and moneys being abused and removed from their original intentions.

Due to the confidentiality clause between individual taxpayers, charities and the Revenue Commissioners, no information on the reliefs is available. While the figure for the PAYE sector was €21 million, I have been informed the figure for the self-employed sector is significant. Public accountability is important in this area. I hope the Minister will keep it under review since the successful operation of the charities sector is important.

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