Results 10,521-10,540 of 32,864 for speaker:Paschal Donohoe

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: I will look at three factors, namely, the level of employment within the affected sectors, the level of transactions within the affected sectors, and what we think the public health guidance will be for those sectors in 2022. This will be a matter that I know will be touched on in any event in the tax strategy group process but as I approach the decision point for the 2021 budget, the...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: This section amends section 86 of the Value-Added Tax Consolidation Act 2010, which deals with special provisions for tax invoiced by flat-rate farmers. It confirms the budget increase in the farmers' flat-rate addition from 5.4% to 5.6%. The new rate of 5.6% will continue to achieve full compensation for farmers under the flat-rate scheme.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: I just want to restate that this section will not affect the neutrality of our country or our defence and foreign policy.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: I move amendment No. 143: In page 59, lines 36 and 37, to delete “31 October 2020” and substitute “30 April 2021”. Section 42 amends the VAT Consolidation Act to provide for the temporary application of the zero rate of VAT to certain goods used in the delivery of Covid-19 related healthcare services. It provides that the zero rate applies to goods supplied to...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: The ability to apply the zero rate of VAT is related to the European Commission and as a result, the scope of the measure is narrow. With the exception of the medical bodies and professionals that are listed in the legislation, it cannot be extended to other medical professionals. Therefore, the standard rate of VAT must be applied in those cases where PPE is being supplied to or acquired...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: I am clearly informed that we do not have the ability to extend this to dentists, for example, and one could also make a convincing case as to why they should enjoy the zero rate of VAT on PPE. While I expect I will not be able to do what the Deputy asks, this is the first time this specific issue has been raised with me. I urge the Deputy to raise the matter again on Report Stage when I...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: I move amendment No. 144: In page 60, lines 7 and 8, to delete “31 October 2020” and substitute “30 April 2021”.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: I move amendment No. 145: In page 60, line 27, after “2020” to insert “and Commission Decision (EU) 2020/1573 of 28 October 2020”.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: In response to Deputy Farrell's question, the more established sanitary care products are already zero-rated. They already have a zero rate of VAT and I am just using the discretion that is available to me now to make changes in the other products that are listed in this Bill, which is clearly the right change to make. In response to Deputy Tóibín's point, I was briefed on the...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: I accept that prayer and religious practice are, as Deputy Tóibín said, human rights. I am glad he did not suggest that I am trying to interfere with that human right because a number of allegations have been made regarding the intention behind this change. It was not prompted by the Tax Appeals Commission ruling referred to by Deputy Doherty. Every year when I deal with the...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: It would only apply to candles that meet these criteria. Other candles that do not meet these criteria are charged VAT as is normal. Regarding the revenue gain from this, it is negligible if there is one at all. It will be very small. If there is genuine evidence of hardship or difficulty created due to this change, I will engage with stakeholders on the matter before Report Stage. Some...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: Would five minutes be agreeable to the committee?

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: While these two amendments have been grouped, I will speak to them individually. In regard to amendment No. 146, in general the purchase of company shares is liable to stamp duty at 1%. When stamp duty was increased from 2% to 6% in budget 2018 an anti-avoidance measure was included to ensure that the new 6% rate would also apply where non-residential property held by an entity such as a...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: We have a differing view on it. The 1% is the stamp duty rate that applies with regard to the purchase of shares and that is the reason for it.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: What is being purchased is shares in this entity and the charge in that respect is 1% stamp duty, which is paid by the person who purchases them. The 7.5% refers to the transactions that I outlined earlier.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: As I outlined in my earlier response to the Deputy, in last year's budget and Finance Bill, I introduced a very comprehensive set of measures to deal with issues that I identified in regard to the taxation of this sector, which the Deputy has acknowledged. When I identified issues that needed to be addressed, changes were made. In our debate yesterday I highlighted the higher rate of tax...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: I again remind the Deputy that I have introduced very significant anti-tax avoidance measures in this sector. When I have become aware of issues that have required action, I have taken action. The Deputy and I differ in that he thinks more should be done on this. When I continue to monitor the operation of the sector, which I will do, if more needs to be done to deal with tax avoidance...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (Resumed) (17 Nov 2020)

Paschal Donohoe: I think we have already covered the different issues yesterday and today. I want to make it clear to the committee that I do not design policy or set tax law to benefit any one company or transaction. I do not do that. I am not going to get into naming companies or transactions. It is not appropriate for that to happen at this committee; it certainly would not be appropriate for me to do...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (16 Nov 2020)

Paschal Donohoe: I thank the Chairman. There are a number of amendments that are in order for dealing with this section. I am sure we will have the opportunity to debate a number of different elements that have been put forward. I want to make clear from the very start the intention of the Government that these payments would be taxed and treated in the same way as we tax other equivalent social welfare...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2020: Committee Stage (16 Nov 2020)

Paschal Donohoe: These payments were paid out under section 202 of the Act because of the need to make them quickly and to associate them with a relevant clause in social welfare legislation. The Department of Social Protection has confirmed to me - indeed, the Minister for Social Protection, Deputy Humphreys, answered questions on this matter in the Dáil on 29 July - that its understanding is that a...