Joan Burton (Dublin West, Labour)
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Question 172: To ask the Minister for Finance if the provision of a taxi or other transport service to and from work by an employer to an employee on health grounds will be exempted from taxation as a benefit-in-kind; his views on whether the relevant legislation is satisfactory in this regard; if he will amend legislation in this regard; and if he will make a statement on the matter. [40068/08]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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I am advised by the Revenue Commissioners that Section 118 provides that a benefit-in-kind charge shall apply in respect of any benefit made available to an employee by an employer, and which is not made good by that employee, unless the provision of the benefit is specifically exempted from charge by legislation.

In general there is no deduction against tax payable for the cost of travelling to and from an employee's place of work. In the circumstances the provision of a taxi or other transport service to and from work, irrespective of the personal circumstances of an individual employee, is a benefit which would result in a charge to benefit-in-kind being imposed.

However, in circumstances where an employer provides a monthly or annual bus, railway or ferry travel pass issued by an approved transport provider such a benefit is specifically exempted from a charge.

The existing legislation is considered satisfactory and there are no plans at this time to revise the legislation.