Seanad debates

Tuesday, 4 October 2011

3:00 am

Photo of Michael MullinsMichael Mullins (Fine Gael)

Will the Leader arrange for the Minister for Finance to attend the House so that we might discuss with him the taxation system as it applies to charities? The charity sector employs more than 100,000 people and contributes hundreds of millions of euro to the Exchequer. Charities play an important role in providing funding for people who look after the aged, the sick, people with disabilities, etc. Although the public continues to give generously, many charities are struggling to keep pace with the increased demand for their services. The umbrella body for charities is anxious that the taxation system be simplified and made equitable. PAYE workers and the self-employed are treated differently. The latter can claim tax relief on donations. Treating all taxpayers equally wound reduce administration and ensure more money for the charities' coffers. Charities believe that a 41% tax relief on donations must be maintained to ensure that they can continue to benefit.

A threshold of €250 per year must be reached before one can qualify for tax relief on charitable donations. In the current economic climate, this threshold should be reduced to €100. People continue to contribute, but they have cut back on the amount. Another anomaly that I would like to-----

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