Michael McGrath (Cork South Central, Fianna Fail)
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Question 119: To ask the Tánaiste and Minister for Finance if he has proposals to allow elderly persons who incur expenditure on essential home improvement and repair works to reclaim the VAT on such expenditure. [28255/07]

Brian Cowen (Laois-Offaly, Fianna Fail)
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The position is that the VAT treatment of goods and services is governed by EU law with which Irish VAT law must comply. The rate of VAT that applies to a particular good or service is determined by the nature of the good or service, and not by the status of the customer. There is no provision in European VAT law that would allow the application of an exemption or reduction of VAT on supplies of goods or services to customers over a certain age.

However, the Deputy may be aware that local authorities already provide grants to assist in the provision and adaptation of accommodation to meet the needs of the elderly and people with a disability. These grants cover such works as access ramps, stairlifts, installation of downstairs toilet facilities, accessible bathrooms and extensions. In addition, the Housing Aid for Older People Grant Scheme implements the Government decision to transfer the Special Housing Aid for the Elderly Scheme from the HSE to the Local Authority sector by amalgamating it with the Essential Repairs Grant Scheme. The aim of the scheme is to assist older people living in poor housing conditions to have essential repairs or improvements carried out. The maximum grant under this scheme is €10,500 and may cover 100% of the approved cost of the works for applicants with an annual household income of less than €30,000 tapering to 30% for those with annual household incomes of between €54,001 to €65,000. This grant covers such works as structural repairs, rewiring, replacement of doors and windows, provision of water and sanitary services, and other repair or improvement works which are considered essential.

James Bannon (Longford-Westmeath, Fine Gael)
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Question 120: To ask the Tánaiste and Minister for Finance if all taxpayers will benefit equally from increases in personal tax credits in budget 2008; and if he will make a statement on the matter. [28283/07]

Brian Cowen (Laois-Offaly, Fianna Fail)
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It is long-standing practice of the Minister for Finance not to comment in advance of the Budget on any tax or expenditure matters that might be the subject of Budget decisions. I do not intend to depart from this approach.

James Bannon (Longford-Westmeath, Fine Gael)
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Question 121: To ask the Tánaiste and Minister for Finance if he will remove capital gains tax on the disposal of farm land to local authorities for road building or road widening provided the proceeds of the compensation are reinvested in farm business assets; and if he will make a statement on the matter. [28284/07]

Brian Cowen (Laois-Offaly, Fianna Fail)
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I assume that the Deputy has in mind the re-introduction of roll-over relief. It was announced in the 2003 Budget that no roll-over relief would be allowed for any purpose on gains arising from disposals on or after 4 December 2002. This relief was introduced when CGT rates were much higher than current levels. The abolition of this relief was in accordance with the overall taxation policy of widening the tax base in order to keep direct tax rates low.

As the Deputy will be aware, there is already in place a generous package of reliefs that continue to be available to the farming sector. As you will also be aware, it is a long standing tradition that the Minister for Finance does not comment on taxation matters in advance of the annual Budget.