Results 1,861-1,880 of 27,945 for speaker:Michael McGrath

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: The Deputy’s request for a report to be included in the summer economic statement setting out the estimated cost to the Exchequer of adjusting income tax rate bands, tax credits and allowances and social welfare benefits and allowances to reflect any changes in the CSO’s all-items consumer price index numbers is a broad proposal and extends beyond my direct remit as Minister for...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: This section makes a number of amendments to the rent tax credit, which was introduced in Finance Act 2022. This tax credit is for those who pay rent on their principal private residence, or another property they use to facilitate their work or study obligations. The credit is being increased for the tax years 2024 and 2025 from €500 to €750 for a single person or from...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: The reason is that the purpose of the credit is to provide an affordability support for renters situated in the State. That issue was considered when the tax credit was introduced a year ago. I decided not to revisit that, having considered the issue. The existing basis means that a credit will not be available in respect of a payment made for a residential property located in Northern...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: I understand that argument, but the basis of the relief changes fundamentally if we bring into its scope properties outside the State. It would not be possible to limit that to just Northern Ireland or Great Britain. I think you would have to extend it almost certainly throughout the EEA. It would change the nature and scope of the relief. That is not what it was intended for. The policy...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: That is the provision on student digs and the rent-a-room scheme. We are providing the relief to parents for 2022 and 2023, and prospectively after that. It is a policy change.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: The question of a proposed rent freeze raised by a number of Deputies is a much broader policy issue that we can certainly go into. I accept it is relevant to this debate. If we were to impose a complete rent freeze for a period of time, it would further reduce supply in the rental sector. We would see further rental stock being removed from the sector. While the intention may be to help...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: I do not need to. It is part of the Bill and the section speaks for itself.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: I thank the Deputy. As I announced in my budget day speech, my Department will shortly be launching a public consultation which will form part of an in-depth review of share based remuneration in Ireland and part of this review will be the consideration of all the recommendations made by the Commission on Taxation and Welfare regarding share based remuneration. We are, of course, very much...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: I move amendment No. 6: In page 18, between lines 14 and 15, to insert the following: “ ‘local property tax number’ means the unique identification number assigned to a residential property by the Revenue Commissioners under section 27 of the Finance (Local Property Tax) Act 2012;”. Section 13 of the Bill provides for the temporary one-year mortgage...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: I move amendment No. 10: In page 22, line 16, after “Eircode” to insert “and local property tax number”.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: I move amendment No. 11: In page 22, to delete lines 26 and 27 and substitute the following: “(ii) the address (including the Eircode and local property tax number) of the qualifying property in respect of which a claim under this section is made,”.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: I will speak about the section first and can respond directly to a number of the points. This section inserts a new section 473(c) into the Taxes Consolidation Act 1997 to provide for mortgage interest tax relief, which I announced on budget day. As we are all aware, on 14 September the ECB increased its main lending rate by 0.25%. This was the tenth increase in official rates since summer...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: I am being asked not to have any targeting; that is essentially the proposal. Nobody is served by talking about people losing their homes or credit ratings. We are talking about a mortgage support, recognising the fact that the broad section of mortgage holders with a mortgage balance between €80,000 and €500,000 will benefit from this measure. We also have a whole range of...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: When we draw up parameters for any scheme, there will always be criticism of where the parameters have been drawn. Deputy Doherty described his proposal as being targeted. It is not targeted; it has a limited benefit. There is a difference. He is essentially suggesting that people with a mortgage balance of €10,000, €20,000 or €30,000 and perhaps two or three years...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: We have had a discussion on this amendment.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: I thank the Deputy for his amendment. Section 15 makes two changes to section 208B of the Taxes Consolidation Act 1997, which contains the administrative provisions for the charitable tax exemptions provided for in sections 207 and 208 and the arrangements concerning overseas charities provided for by section 208A of the Taxes Consolidation Act 1997. The first amendment provides that...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: I thank the Deputy. I will read a short note and will then add clarity on the specific question. This section makes two amendments to section 235 of the Taxes Consolidation Act 1997, which provides for an exemption from income tax and corporation tax on the income of certain bodies established for the purpose of the promotion of athletic or amateur games or sports. The first amendment...

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: They may not come under the definitions here. That is true.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: They may not be competitive.

Select Committee on Finance, Public Expenditure and Reform, and Taoiseach: Finance (No. 2) Bill 2023: Committee Stage (7 Nov 2023)

Michael McGrath: Existing Revenue-approved RACs will continue to be able to offer RACs and life assurance under those contracts to new members. Tax relief will still be available for contributions into RACs.