Brian Hayes (Dublin South West, Fine Gael) | Oireachtas source

If they have a tax liability over a two-year period where the scheme operates, they can draw that down.

On the other question that Deputy Boyd Barrett raised about the guidelines, I am not sure whether the Minister, Deputy Noonan, stated at committee that these will be published early in the new year between Revenue and the Department of Finance. We cannot do it until the Bill goes through both Houses but it is the intention that such guidelines will be published early in the new year.

I accept the bone fide comments of colleagues opposite. It is a novel scheme, but it is targeted. There is very little funding around to provide any such scheme because one is talking about tax forgone. Where we are using the tax system to help stimulate the construction system with a good targeted measure, we must ensure that we do so proportionately. As I stated, this is an additional targeted stimulus to the construction sector which also encourages the entirely of that sector to be tax compliant.

It is a novel scheme. It is important to point out we also improved the scheme through the amendments we accepted already at Committee Stage by which the threshold is inclusive rather than exclusive of VAT. The Minister listened carefully to what colleagues had to say about that issue. We also accepted other amendments.

The problem is one must achieve a balance between what one wants to do, which is to help stimulate the construction sector, and simply giving carte blanche to those who will get work done anyway to avail of a tax benefit in circumstances where they might be able to afford to get that work done. If we are being frank and honest about this, that is a difficult balance to strike.

We reduced the minimum, from €5,675 inclusive of VAT to €5,000 inclusive of VAT, which means that a greater number can avail of the incentive over the two-year period. We think we have got the balance about right, but we must wait and see how successful is the scheme.

There is broad acceptance of the scheme and what it attempts to achieve and with the amendments the Minister, Deputy Noonan, has accepted thus far, it has been improved by way of its reading in the House.

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