Emmet Stagg (Kildare North, Labour)
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Question 14: To ask the Minister for Finance the estimated cost of the extension, in regard to his public statement of 22 December 2004 regarding proposed changes in the Finance Bill 2005 with respect to changes to the 31 December 2004 condition for certification of projects for entitlement to the tax incentive for investment in third level education buildings; the number of outstanding cases at 31 December 2004 in respect of which certificates had still to be issued; the location of the projects involved; if he has received representations from developers or from others in regard to the proposed change; and if he will make a statement on the matter. [2496/05]

Brian Cowen (Laois-Offaly, Fianna Fail)
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The tax incentive for investment in third level education buildings was introduced in the Finance Act 1997. It was provided in the 2004 Finance Act that only expenditure incurred up to 31 July 2006 would qualify for the relief provided that a ministerial certificate approving the project was issued by 31 December 2004. Three outstanding applications were under examination by my Department in December 2004 and it was not possible to complete the detailed examination and assessment by the cut-off date of 31 December 2004. Such assessments can take up to several months as it is usually necessary to have detailed discussions involving my Department, the Revenue Commissioners and the Department of Education and Science as well as the third level institution concerned to ensure that the application is structured in accordance with the precise terms of the legislation to enable the certification to be given.

My announcement of 22 December stated that the applications had to be received by 31 December 2004 but that the ministerial certificate of approval would not have to be issued by that date. There will be a provision included in the 2005 Finance Bill to legislate for this change.

The correspondence relating to the three applications came from the three third level institutions concerned and not from any developers. It is not possible at this stage to estimate the Exchequer cost involved as the examination of the applications has not been completed. There is no extra cost involved as these applications had already been received prior to the cut-off date. I do not consider it appropriate to indicate the location of the three projects or the names of the third level institutions concerned since the applications are still being examined.