Results 14,581-14,600 of 27,945 for speaker:Michael McGrath
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: All profits of section 110 companies, from whatever source, are taxable at 25% because it is non-trading in nature.
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: The amendment is the section.
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: On the issue of ICAV, I make the point, though it is rarely a popular one, that we should aim for an investment environment that is somewhat stable. We should have had this provision in place before all the funds were invested in Ireland. Whether it was in 2011 or whenever, we should have had the foresight to have it in place. The ICAV legislation was signed into law as recently as early...
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: Okay. So as long as the profits remain within the fund and are undistributed, the withholding tax will apply. It will apply to any distribution out of the fund. Is that correct?
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: Okay, I understand that. Is the withholding tax of 20% a full and final settlement or is there a set-off paid against another tax liability? Is that the end-point of the taxation?
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: Do the other taxation provisions which exempt the funds from tax generally continue to apply? The withholding tax of 20% is how they would now be taxed. That is the limit of it. Is that correct?
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: Okay. So it is not like other withholding taxes that apply whereby the funds are held in reserve and offset against the ultimate tax liability that is computed. It does not operate like that, does it?
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: No, I think the position is clear. It applies to distribution. As long as income such as rental income and so on remains within the fund, there is no tax. It is the distribution or the sale that triggers the actual event. When the Minister of State was discussing the 25% threshold with Deputy Pearse Doherty earlier, he made the point that it is principally designed to capture the 96...
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: I might follow up on Deputy Boyd Barrett's point about the rolling-off of profits before we move on to other issues. As the Deputy mentioned, some fund structures that are making annual recurring profits on the back of rental income are not distributing those profits and are therefore not paying any tax. Is there any restriction on the use of recurring annual profits from rental income to...
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: They do so by reinvesting the annual profits from rental income.
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: My understanding is that if the rental income is distributed, it is captured. However, if it is reinvested in real estate rather than being distributed-----
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: Can we get confirmation on that one?
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: Can we get a note on it?
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: Is Deputy Michael D'Arcy talking about the help-to-buy scheme?
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: It is not dealt with under this section.
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: I wish to signal the fact that I am considering a Report Stage amendment on the capital gains tax implications for farmland with solar panels. It might be appropriate to this section.
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: I am not familiar with so-called heated cigarettes but it has been reported to me that they come in rolls of tobacco that are inserted into an electronic device and inhaled. They are not in Ireland but it is suggested that they may be introduced here. Currently they fall to be taxed as smoking tobacco which has an excise rate of €232.64 per kilogramme as opposed to the excise rate...
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: So there is no requirement for any change to the excise provisions.
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: I move amendment No. 122: In page 67, after line 35, to insert the following: “Value-Added Tax in respect of Charities 45. The Minister shall, within 3 months of the passing of this Act, prepare and lay before Dáil Éireann a report on the introduction in 2017 of a capped Value-Added Tax compensation scheme for charities with reimbursement to commence in 2018.”. ...
- Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance Bill 2016: Committee Stage (Resumed) (15 Nov 2016)
Michael McGrath: Is the Government minded to introduce such a scheme? A good deal of preparatory work was done by the working group and it can be done in a manner consistent with European Union VAT law. I fully understand that the liability has to be capped. It is capped in Denmark at €20 million. I do not believe anyone is suggesting that we should start at that level here but it would be a real...