Results 2,201-2,220 of 27,019 for speaker:Michael Noonan

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: There is a very small number using cash and most are mortgage-driven. The figure is 1,800. It is not 18,000 or 19,000.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: We arrived at it as follows. Taking the sentence I read to the Deputy, the current trend of first-time buyers buying new houses is approximately 150 per month. I regard that as dead weight on the scheme as they are buying them anyway. That does not have an impact on the scheme being designed to drive supply. In that case we are looking, effectively, at no or very few new houses being...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: The first purpose-----

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: I understand the question and want to answer it. The first purpose of the macroprudential rules introduced by the Central Bank was to ensure that individuals did not repeat the cycle and get into unaffordable debt by incurring mortgages they could not service. Part of this was the idea that people are more likely to take on mortgages they cannot afford if house prices increase beyond the...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: No, I do not want-----

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: No. The Deputy is always and in a very emphatic manner effectively making allegations that are incorrect. The purpose and general design of the scheme was discussed by me, personally, with the Governor of the Central Bank. We did not get into the last detail of it. What happened in putting in the 80% figure as opposed to 70% is that on the advice of the Central Bank, the scope of the...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: I move amendment No. 16:In page 9, to delete lines 24 to 31 and substitute the following:“ ‘qualifying residence’ means— (a) a new building which was not, at any time, used, or suitable for use, as a dwelling, or (b) a building which was not, at any time, in whole or in part, used, or suitable for use, as a dwelling and which has been converted for use as a...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: Yes, they can cost €500,000. If one looks at what is available in Dublin, it is very hard to get anything for less than €400,000.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: I presume Deputy Doherty has seen statements from Deputy Michael McGrath's colleagues in Dublin constituencies who argued that we should leave the upper limit at €600,000 to reflect the market for starter homes in their constituencies.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: No, the primary reason for the macro-prudential rules was to try to ensure people who raised mortgages could afford to service them and did not get into the difficulty we have all seen occur in the past eight years. Beyond the price issue, a consequence of this was that if prices increased too much, the risk of not being able to service the mortgage also increased.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: Cut-off points are necessary in all schemes. I have explained the reason the cut-off point could not be pitched at €400,000. Given current house prices in Dublin, €400,000 was a reasonable point at which to draw the line and there had to be some headroom allowed above this threshold to avoid a cliff effect and a black economy effect. That is the reason.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: No, I am not. There is a range of markets, with prices varying from location to location.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: If one looks at this through the other side of the telescope, one can apply the same argument to say I am introducing a cap which will reduce prices to this level.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: I move amendment No. 17:In page 9, between lines 31 and 32, to insert the following:" 'relevant tax year' means a year of assessment, within the 4 tax years immediately preceding the year in which an application is made under this section, in respect of which a claim for an appropriate payment, or part of such appropriate payment, is made by an individual;".

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: I have speaking notes on all the amendments. I have not yet read them, but I can do so if that helps.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: Amendments Nos. 17 and 23 introduce the concept of a "relevant tax year" into this section of the Bill. The reason for this is to allow first-time buyers flexibility as to the years in respect of which they can claim the rebate. As a result of this amendment, claimants will be allowed choose any or all of the tax years within the four tax years immediately preceding the year in which they...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: One of the conditions of the scheme is that an individual or group purchasing a house - an individual, a couple or a group of three siblings, for example - must have paid sufficient tax to the Irish Revenue Commissioners over the previous four years.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: Will I speak on amendments Nos. 24 and 25 or will we move on?

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: I move amendment No. 18:In page 9, after line 39, to insert the following:" 'tax year' means a year of assessment within the meaning of the Tax Acts;". This technical amendment is being introduced to define "tax year".

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (9 Nov 2016)

Michael Noonan: I move amendment No. 19:In page 10, lines 21 and 22, to delete "proposes to construct" and substitute "offers, or proposes to offer, for sale". This is a further technical amendment to change the language being used in the Bill. The phrase "proposes to construct" is being deleted and replaced by the phrase "offers, or proposes to offer, for sale".