Richard Bruton (Dublin North Central, Fine Gael)

I support the amendment, which seeks to ensure that there is a proper balance between those who are compliant with the tax code and entitled to support in getting their due refunds and those who try to evade tax and who Revenue rightly uses its full powers to pursue. Compliant taxpayers have a right to expect that the Government and Revenue will make an equal effort to ensure that people receive the refunds they are due. Perhaps the Minister will consider four suggestions when replying.

First, I would like him to consider proper independent estimates of the level of underpayment of taxation, drawn up between himself, the Revenue Commissioners and the CSO. The latter has adequate data on the various rent payments, unrequited medical expenses and bin charges. It has a huge level of information available to it. My back of the envelope calculations suggest that there is approximately €350 million of unrefunded tax each year.

Second, when tax free allowance certificates are issued to taxpayers, the Minister should ensure that a form that will allow people to claim back tax in the principal areas, such as medical expenses, rent and refuse charges, is included. This form should explain, in simple terms, what people should include and what documentation should be forwarded in order to make a return in respect of the period completed.

Third, the Minister should take steps to remove from the code the inertia that prevents people from claiming tax relief, particularly that relating to medical expenses. The two elements that are excluded are routine dental and optical services. In an era when we are encouraging people to take preventive measures and assume responsibility for their health, we should not exclude routine dental and optical treatment. Such optical treatment is responsible for the early detection of glaucoma. We should ensure that people do not spend the final years of their lives being effectively blind because they did not avail of early intervention. The idea of having a deductible of €125 for an individual or €250 for a family is purely a ruse on the part of the Department of Finance to make it more difficult for people to claim tax relief. It means that one cannot automatically be aware that a refund is due in respect of money one paid in respect of a service.

Fourth, the Minister should consider the imbalance between compliant taxpayers, who can only look back over a period of four years in respect of tax they inadvertently did not claim, and Revenue, which can, as a standard rule, look back over a period of six years. In the event of being in hot pursuit of a suspected fraud case, Revenue can go back indefinitely. The latter is a matter with which I have no difficulty. However, I have a problem with the four-year restriction that was introduced a couple of years ago.

Perhaps the Minister will consider these four suggestions. They can all be done and would not cost much money. They would begin to build up a sense that there is some form of equity of treatment.

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