Paschal Donohoe (Dublin Central, Fine Gael) | Oireachtas source

I will give an example of the complexity to which I referred earlier. An investment undertaking tax, which is in place for some of these products, operates at a 41% rate with an eight-year disposal window.

We then have a 60% rate in relation to personal portfolio life insurance products that also operate over an eight year window. In terms of some life assurance products, we also have a 41% exit tax rate over an eight year disposal window. I understand that at the moment we have 12 different regimes in place, many of which operate under different rates and rules. For those reasons, I believe that the best way to move forward the matter is through the working group. I emphasise that the cost of such changes would be an important point for me.

On Deputy Burton's two points, it is unlikely that the cost of supplying these products will fall into the terms of reference of the working group as we are looking more so at the taxation regime that applies. However, this is perhaps an area the Minister of State, Deputy D'Arcy, who has responsibility for financial services and other areas, could examine next year. I would propose to establish the group promptly and put in place a deadline for early 2018 to allow for submissions and proposals to be made to us, flesh out the matters to which I have referred, particularly the number of different regimes and their different rates and, if resources permit, use that report to guide choices in next year's budget.

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