Ruairi Quinn (Dublin South East, Labour)
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Question 119: To ask the Minister for Arts, Sport and Tourism if he has had discussions with the Department of Finance regarding the possible extension of the tax relief for sporting bodies to be extended to current expenditure for sporting organisations; his views on such a proposal and the extension; and if he will make a statement on the matter. [2261/09]

Martin Cullen (Waterford, Fianna Fail)
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The tax relief on donations to certain sports bodies scheme, established under section 847a of the Taxes Consolidation Act came into effect from 1st May 2002. It allows for tax relief on donations made to approved sports bodies for the funding of sports capital projects. This scheme applies to donations of over €250 made towards expenses incurred by an approved sports body in relation to a capital project after the 1st of May 2002. The donation must be freely given with no benefit derived in return by the donor. Individual taxpayers on the self-assessment system are able to claim relief on their annual tax returns as a deduction from their total income. A corporate entity may claim relief on a donation by treating it as a deductible trading expense. Projects that are valid under the scheme include the following:

the purchase, construction or refurbishment of a building or structure, or part of a building or structure to be used for sporting or recreation activities provided by the approved sports body,

the purchase of land to be used by the approved sports body in the provision of sporting or recreation facilities,

the purchase of permanently based equipment (excluding personal equipment) for use by the approved sports body in the provision of sporting or recreation facilities,

the improvement of the playing pitches, surfaces or facilities of the approved sports body, and

the repayment of, or the payment of interest on, money borrowed by the approved sports body on or after 1 May 2002 for any of the above purposes.

I believe that the scheme is working well with 217 projects worth over €156 million approved to date. Any changes to this scheme or any new provisions of the nature referred to by the Deputy would be a matter for the Minister for Finance to consider in the context of overall taxation policy.