Richard Bruton (Dublin North Central, Fine Gael)
Link to this: Individually | In context

Question 184: To ask the Tánaiste and Minister for Finance if the rent payment made to local authorities under the shared ownership scheme qualifies for tax relief; and if not, his views on extending this relief to ease the burden for many low income families trying to access affordable housing. [32147/07]

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

Section 473 of the Taxes Consolidation Act 1997 provides for relief from income tax for an individual who pays rent in respect of a tenancy of a residential premises which is his/her main residence. The definition of "tenancy" in the tax legislation excludes tenancies in respect of which the person beneficially entitled to the rent is "a housing authority for the purposes of the Housing Act 1966". Therefore, tax relief cannot be claimed in respect of rent paid to a local authority. With regard to extending the relief, it is a longstanding 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.

Niall Collins (Limerick West, Fianna Fail)
Link to this: Individually | In context

Question 185: To ask the Tánaiste and Minister for Finance if in the circumstances of capital acquisition tax and stamp duty on inheritances where the case refers to the child of a deceased child, if the child in question has to be under 18 years of age to benefit from reliefs or if there is an age limit involved. [32170/07]

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

Stamp Duty is not chargeable on inheritances of property. The Capital Acquisitions Tax (CAT) code includes group thresholds, below which no CAT is liable. The indexed group thresholds applying to an inheritance by a grandchild for 2007 is €49,682 (Group B). However, in the case of a minor child of a deceased child (under 18 years on the date of the inheritance), a higher threshold of €496,824 (Group A) applies. Any other gifts or inheritances that might have been received within the same group by an individual since 5 December 1991 are also taken into account when applying the thresholds for the purposes of calculating CAT. If the total value of all inheritances and gifts received since this date is above the relevant threshold, then a 20% CAT will apply on the difference.

Paul Kehoe (Wexford, Fine Gael)
Link to this: Individually | In context

Question 186: To ask the Tánaiste and Minister for Finance if he will make a statement on a matter (details supplied). [32320/07]

Brian Cowen (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context

The Deputy is referring to the re-introduction of Capital Gains Tax 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 the current levels of 20%. 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.