Finian McGrath (Dublin North Central, Independent)
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Question 94: To ask the Tánaiste and Minister for Finance if he will advise on a query from a person (details supplied). [2900/08]

Brian Cowen (Laois-Offaly, Fianna Fail)
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From the details supplied by the Deputy, it is not possible for the Revenue Commissioners to comment on the actual case. However, the general position is as follows. Tax relief at source (TRS) is granted on a secured loan used for the purchase, repair, development or improvement of a principal private residence. I am advised by the Revenue Commissioners that an individual wishing to register for TRS on mortgage interest payments should complete the relevant form TRS1 available at www.revenue.ie and return it to Revenue. Alternatively, an individual can register online at www.revenue.ie/trs 1.

To claim relief for previous years' interest payments, an individual must complete a TRSP form which is available from Revenue online at www.revenue.ie and return it to Revenue. I should point out that relief for the current year and the previous four years are only eligible for relief. Any interest paid before 1 January 2004 is no longer eligible for relief.

Seán Connick (Wexford, Fianna Fail)
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Question 95: To ask the Tánaiste and Minister for Finance if his attention has been drawn to the fact that the price of fuel accounts for one third of the gross profit of a fishing vessel; if he will cap the amount of VAT paid on a litre of fuel for fishing vessels. [2914/08]

Brian Cowen (Laois-Offaly, Fianna Fail)
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The position is that the VAT rating of goods and services is subject to the requirements of EU VAT law with which Irish VAT law must comply. Under the VAT Directive, Member States can only apply the standard VAT rate to fuel. In Ireland the standard VAT rate is 21%. Any reduction VAT paid on a litre of fuel for fishing vessels would have to apply to all goods and services subject to the standard VAT rate. For example, a one percentage reduction in the standard VAT rate would cost the Exchequer approximately €483 million in a full year and make little or no difference to the price of fuel for fishing vessels.

In relation to capping the amount of VAT paid on a litre of fuel for fishing vessels, the EU VAT Directive sets out the method through which VAT must be calculated which has been transposed from the VAT Directive by section 10 of the Value Added Tax Act 1972 as follows: "...the total consideration which the person supplying goods or services becomes entitled to receive in respect of or in relation to such supply of goods or services, including all taxes, commissions, costs and charges whatsoever, but not including value-added tax chargeable in respect of the supply". Consequently, EU VAT law does not permit a capping of the amount of VAT paid in respect of any good as proposed by the Deputy.

Róisín Shortall (Dublin North West, Labour)
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Question 96: To ask the Tánaiste and Minister for Finance if disability allowance is a taxable payment; if additional income from rehabilitative work is liable to income tax; and if he will examine the case of a person (details supplied) in Dublin 11. [2923/08]

Brian Cowen (Laois-Offaly, Fianna Fail)
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I have been advised by the Revenue Commissioners that disability allowance is not taxable.

The additional income from rehabilitative work earned by the person is, in general, taxable. However, the tax credits to which the person is entitled exceed any liability on this income and based on their current level of income they are not liable to tax. The taxpayer has not paid any income tax over the past four years.