Róisín Shortall (Dublin North West, Labour)
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Question 181: To ask the Minister for Finance his estimate of the number of additional people who will pay income tax in 2009 as a result of the failure to increase the income tax exemption limits in respect of those over 65 years; and if he will make a statement on the matter. [41097/08]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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I am informed by the Revenue Commissioners that the increase in the number of income earners over 65 paying income tax in 2009 compared with 2008 is estimated to be about 2,600.

It should be noted that the available figures for numbers of taxpayers aged 65 or over for 2008 and 2009 are projected estimates from the Revenue tax-forecasting model using actual data for the year 2005 adjusted as necessary for estimated income and employment growth in general for the years in question. They are therefore provisional and likely to be revised in respect of both these years.

It should also be noted that year-on-year projected increases in the number of income earners over 65 paying income tax cannot be said to be directly attributable to the level of the age exemption thresholds. There are a number of other factors which are likely to affect these numbers, such as wage, salary and pension growth and demographic changes.

The age exemption thresholds have increased by almost 54% since 2002. This is substantially ahead of wage growth and inflation increases for the same period.