Dáil debates

Wednesday, 3 November 2021

Finance Bill 2021: Second Stage (Resumed)

 

5:52 pm

Photo of Alan DillonAlan Dillon (Mayo, Fine Gael) | Oireachtas source

I commend the Minister on the delivery of this Finance Bill. I will start by adding to the comments about the income tax relief that were outlined in budget 2022, and there will likely be complexity experienced by remote workers seeking to make claims for this welcome tax relief. The new tax relief, in the form of a tax deduction, will allow employees who work from home to claim 30% of the cost of electricity, heating and broadband. However, this is to be apportioned on the basis of the number of days worked from a residential premises during the year. I suggest that an online calculator or app be made available to streamline the application process. I am thinking particularly along the lines of a day tracker where remote workers could log the number of days when they work from home and the cost could be logged in a similar way throughout the year. This would be similar to and, ideally, integrated with the existing receipts tracker used by the Revenue Commissioners. It would be very beneficial. If the tax relief is going to be successful, it must be made as attractive as possible and people should be able to apply without being put off with the thought of a time-consuming calculation. I genuinely believe some effort now would avoid more complex matters down the road as remote workers begin applying for this relief.

Particular mention should also be given to section 6 of the Bill, which gives effect to the budget announcement to increase the standard rate band and the number of tax credits with effect from 1 January 2022. The standard tax rate band will be increased by €1,500, with this increase applying to every individual. The basic personal tax credit available to married persons and civil partners jointly assessed will increase from €3,300 to €3,400 and in all other cases, the individual value of the tax credit will increase from €1,650 to €1,700. The value of both the employee tax credit and earned income tax credit will also increase from €1,650 to €1,700. This will make a real difference to PAYE workers and working families, and anything that puts more money into the pockets of workers must be commended. I thank the Minister, Deputy Donohoe, for increasing the amount of money available to the real economy on the streets of our towns and villages. It should be commended.

I seek an extension to the regional film development uplift for claims made after 31 December 2021. This has been an enormous benefit to County Mayo, where we have seen a number of film productions taking place, including "My Sailor, My Love", a joint Irish-Finnish production, and "The Banshees of Inisheer". They were both filmed on Achill Island. "My Sailor, My Love" is a great example of work being done through the Western Development Commission's western region audiovisual producers, WRAP, fund. Film production is generating jobs and income in Mayo and has the potential to significantly increase future tourism in our area. I hope the regional film development uplift can be further expanded but whether through such uplift or otherwise, there is a need for an alternative proposal to encourage film production in regional areas as part of the film tax credit under section 481.

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