Results 25,021-25,040 of 27,945 for speaker:Michael McGrath

Written Answers — Department of Finance: Consumer Prices (9 May 2023)

Michael McGrath: In Ireland, inflation stood at just over 8 per cent for 2022 as a whole, significantly higher than the ½ per cent average rate of inflation recorded for the previous decade. However, it is important to bear in mind that almost every advanced economy is in a similar position, with inflation in the euro area reaching an average of just under 8½ per cent last year. At the root of this...

Written Answers — Department of Finance: Tax Code (9 May 2023)

Michael McGrath: The Deputy should note that under the VAT Directive it is not possible to reduce the VAT on heat pumps to zero. However, following changes agreed last year in Annex III of the aforementioned Directive, there is scope to reduce the VAT rate in highly efficient low emissions heating systems to a reduced VAT rate. In Ireland that would mean a rate of 9% or 13.5%. However, these systems...

Written Answers — Department of Finance: Universal Social Charge (9 May 2023)

Michael McGrath: The USC was designed and incorporated into the Irish taxation system in 2011 to replace two other charges, namely the Health and Income Levies. When the USC was introduced in 2011 those aged 70 years and over were not liable to the top rates of charge. However, in Budget 2013, it was decided that the reduced rates of USC for those age 70 years and over with an income in excess of...

Written Answers — Department of Finance: Economic Data (9 May 2023)

Michael McGrath: The CSO’s early ‘flash’estimate of quarterly GDP for Ireland, released one month after the end of the relevant quarter, estimated that GDP contracted by 2.7 per cent in the first quarter of 2023 compared to the previous quarter. However, there are a number of points I would like to raise. Firstly, as is widely acknowledged, GDP is not a useful measure of what is happening...

Written Answers — Department of Finance: Mortgage Interest Rates (9 May 2023)

Michael McGrath: The formulation and implementation of monetary policy is an independent matter for the European Central Bank (ECB). As the Deputy is aware, the ECB has increased official interest rates over recent months as it attempts to combat inflation. The level of official interest rates influences the overall level of interest rates throughout the economy. However, the setting of retail lending...

Written Answers — Department of Finance: Ukraine War (9 May 2023)

Michael McGrath: In response to Russia’s unjustified, illegal invasion of Ukraine, every European Union Member State including Ireland has been obliged to introduce a range of sanctions targeting the Russian economy. These sanctions include freezing assets prohibiting certain transactions and removing Russian banks from the SWIFT messaging system. The frozen assets in question are owned or controlled...

Written Answers — Department of Finance: Tax Reliefs (9 May 2023)

Michael McGrath: I am aware of the Oireachtas Committee on Budgetary Oversight’s recent examination of the section 481 film tax credit, and I understand that the report was published today. In relation to the intellectual property rights of performers, I would note that copyright law falls within the remit of the Department of the Enterprise, Trade and Employment (DETE). Notwithstanding this, my...

Written Answers — Department of Finance: Credit Unions (9 May 2023)

Michael McGrath: I thank the Deputy for his question. As I acknowledged to your colleague Deputy Carthy last week, credit unions in Ireland are regulated and supervised under the Credit Union Act, 1997 (the 1997 Act) and regulations issued by the Central Bank, which set out the framework for the registration, regulation and operation of credit unions including detailed governance and prudential requirements....

Written Answers — Department of Finance: Tax Reliefs (9 May 2023)

Michael McGrath: The Rent a Room scheme was introduced in Finance Act 2001 as an incentive to encourage individuals to let rooms in their principal private residence as residential accommodation in order to bring about an increase in the availability of rental accommodation. In accordance with section 216A of the Taxes Consolidation Act 1997, an individual who lets a room or rooms in her or his sole or...

Written Answers — Department of Finance: Tax Yield (9 May 2023)

Michael McGrath: My Department set out its spring economic and fiscal forecasts in the Government's Stability Programme Updatethat was published in April. Corporation tax receipts are projected at €24.3 billion this year, which would amount to 27 per cent of the total projected tax-take for 2023. My Department estimates that almost €12 billion, or approximately half, of corporation tax receipts...

Written Answers — Department of Finance: Mortgage Interest Rates (9 May 2023)

Michael McGrath: Research has indicated that there is potential for existing mortgage holders to make mortgage savings by switching their mortgage. This is a particularly important consideration at a time of rising interest rates. I have met with the CEOs of the retail banks and with a number of non-bank lenders where I emphasised that they should take a consumer focused approach to encourage switching...

Written Answers — Department of Finance: Tax Reliefs (9 May 2023)

Michael McGrath: I propose to take Questions Nos. 100, 103, 105, 113 and 115 together. The Help to Buy Incentive, announced in Budget 2017, is an income tax incentive measure designed to assist first-time buyers with the deposit required to purchase or self-build a new house or apartment to live in as their home. With a view to increasing the supply of new housing and stimulating demand, the relief is only...

Written Answers — Department of Finance: Tax Rebates (9 May 2023)

Michael McGrath: I am advised by Revenue that over 810,000 PAYE employees have submitted tax returns in respect of 2022 in the first quarter of this year. Of these, just over 650,000 have received a refund of tax. Revenue has to date refunded €453 million to PAYE taxpayers in respect of 2022, which represents just over 9% of the tax paid by these taxpayers. Where an income tax return is not...

Written Answers — Department of Finance: Interest Rates (9 May 2023)

Michael McGrath: Deposit interest rates are a means for banks to attract or maintain a stable source of funding. The determination of the rate of interest to offer to attract depositors is a commercial decision, which is the sole responsibility of the board and management of each bank. Neither the Central Bank of Ireland nor I have a role in setting the interest rates offered by banks on monies held on...

Written Answers — Department of Finance: Financial Services (9 May 2023)

Michael McGrath: The technology that supports the issuance of cryptocurrencies, known as distributed ledger technology (“DLT”) offers technical innovations to enhance transparency, security and efficiencies within financial markets. That being said, it is essential that new technological innovations that fail to meet the highest of standards of consumer protection and protect the integrity of...

Written Answers — Department of Finance: Tax Code (9 May 2023)

Michael McGrath: I am advised by Revenue that Professional Services Withholding Tax (PSWT) is a deduction at the standard rate of income tax, currently 20%, from relevant payments made by accountable persons to specified persons in respect of certain professional services. The tax deducted is a payment on account against the specified person’s final Income Tax or Corporation Tax liability for the year,...

Written Answers — Department of Finance: Insurance Industry (9 May 2023)

Michael McGrath: As the Deputy will appreciate, neither I, nor the Central Bank of Ireland, can direct the pricing or provision of insurance products, as this is a commercial matter which individual companies assess on a case-by-case basis. This position is reinforced by the EU Single Market framework for insurance (the Solvency II Directive). Nevertheless, the Government understands that insurance costs...

Written Answers — Department of Finance: Tax Reliefs (9 May 2023)

Michael McGrath: As the Deputy will appreciate, decisions regarding tax incentives and reliefs are normally made in the context of the annual Budget and Finance Bill process. Such decisions must have regard to the sound management of the public finances and my Department's Tax Expenditure Guidelines. Tax reliefs, no matter how worthwhile in themselves, may serve to narrow the tax base and can make general...

Written Answers — Department of Finance: Tax Code (9 May 2023)

Michael McGrath: Officials from the Department of Finance continue to monitor developments in the vehicle taxation area. New proposals are considered and current vehicle tax policies are kept under review as part of the Tax Strategy Group and Budgetary cycle. Going forward, it is possible that vehicle taxes may shift to weight-based in order to protect the vehicle tax base. However, you should note that the...

Written Answers — Department of Finance: Budget Targets (9 May 2023)

Michael McGrath: Economic and budgetary forecasts covering the period 2023-2026 were set out in the Stability Programme Update which was published and submitted to the European Commission and Council last month. My Department is forecasting an Exchequer surplus of just over €4.5 billion this year. The general government surplus, which is the preferred metric both nationally and internationally for...