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

As we have debated on several occasions already, these funds and this capital are leading to the supply of more homes overall and this does have to be seen in conjunction with, for example, a very strong public housing programme. I know the Deputy wants us to build more public housing but we are going to build well in excess of 6,000 public homes this year through local authorities and approved housing bodies.

At the moment, these companies are taxed when the income they have is redistributed to those who invest in these funds. It is liable for tax at either 20% or 25%, depending on whether it is a real estate investment trust or an Irish real estate fund. They are taxed in the same way a pension is taxed. The income is taxed when it is distributed out of the fund. Do I currently have any proposals to change that taxation again in the future? I have changed this taxation regime in the past, dependent on concerns that I and my officials have had regarding efforts made to minimise tax. The option is always open to me to make further changes in how they are taxed if such issues are presented to me again. That is the main reason I would be looking to change the taxation of those funds at the moment.

Ultimately, they do play a role in terms of the supply of more homes. I appreciate how much they are contested and the political debate in respect of them but it fundamentally boils down to whether we want the savings that exist in other parts of Europe and the world to play a role in building more homes in Ireland. I believe those savings do have a role to play in more homes being built in this country and that is why a stable taxation regime in respect of them, as we have had in recent years, is appropriate.

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