Joe McHugh (Donegal North East, Fine Gael)
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Question 79: To ask the Minister for Finance if the rate of tax that applies to lump sums for public sector workers (details supplied) will be affected by the April 2009 mini budget; and if he will make a statement on the matter. [10632/09]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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Under statutory pension schemes and pension schemes approved by the Revenue Commissioners there is no liability to income tax in respect of retirement gratuities or lump sums paid to members of such schemes on retirement. Provided the workers referred to in the details provided by the Deputy are members of such a scheme and the lump sum payments comply with Revenue rules in this area, there is no liability to income tax on the retirement lump sum payments.

The Deputy will appreciate that I do not propose to comment on what may or may not be contained in the forthcoming supplementary Budget. I have said in response to a recent similar question that I have no plans at this point in time to alter the tax treatment of retirement lump sum payments. This remains the position.

Mary Upton (Dublin South Central, Labour)
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Question 80: To ask the Minister for Finance his views on a further reduction in the cut off point for the artists exemption scheme; and if he will make a statement on the matter. [10635/09]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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I assume the Deputy is referring to the restriction of reliefs measure that was announced in Budget 2006 and which came into effect from 1 January 2007. The position is that this restriction applies to all taxpayers on high incomes that avail of tax reliefs and is not solely applicable to the exempt income earned by artists.

As the Deputy will be aware, the Commission on Taxation is reviewing all tax reliefs, and indeed, all of the provisions in the tax code. The Commission will report to me later this year. The recommendations of the Commission will inform future Government policy on taxation issues.

Mary Upton (Dublin South Central, Labour)
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Question 81: To ask the Minister for Finance the rules regarding the tax exemption scheme for artists, specifically the definition of arts; the person who decides whether someone is eligible or not; and if he will make a statement on the matter. [10636/09]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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The rules governing the artists tax exemption scheme are set out in section 195 of the Taxes Consolidation Act 1997 and in the related Guidelines drawn up under that section. These Guidelines are drawn up by the Arts Council and the Minister for Arts, Sport and Tourism with the consent of the Minister for Finance. The current Guidelines have been in place since 1994.

The scheme provides an exemption from tax for the profits or gains arising to a person from the publication, production or sale of an original and creative work which has artistic or cultural merit in any of the five categories set out in the legislation, namely, a book or other writing; a play; a musical composition; a painting or other like picture; or a sculpture. The legislation does not include a definition of the term 'the arts'.

Under the legislation, the Revenue Commissioners are required to make a determination as to whether or not a work has artistic or cultural merit before the exemption can be awarded. The Commissioners are specifically required by the legislation to make their determination having regard to the Guidelines. The Guidelines set out definitions of the terms original and creative, artistic merit and cultural merit. They also set out specific criteria to be taken into account in making determinations relating to works of non-fiction and provide for exclusions from what is to be regarded as original and creative in respect of certain works (e.g. textbooks, works of journalism and functional or utilitarian works). The Guidelines are available on the Revenue website at www.revenue.ie.

In addition to the Guidelines, the legislation allows the Revenue Commissioners to consult as necessary with expert bodies, such as the Arts Council and the Heritage Council, to assist them in determining whether a work meets the criteria set out in the legislation and the Guidelines. Persons seeking the exemption are entitled under the legislation to appeal determinations made by the Revenue Commissioners to the Appeal Commissioners.

Mary Upton (Dublin South Central, Labour)
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Question 82: To ask the Minister for Finance if he has plans to update the sports tax relief scheme to encompass current as well as capital expenditure; and if he will make a statement on the matter. [10637/09]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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I assume the Deputy is referring to the provisions of Section 847A of the Taxes Consolidation Act 1997 concerning relief for donations to certain sports bodies. As the Deputy will be aware, tax relief for donations to sports bodies is confined to donations in respect of capital projects. The relief was deliberately structured in that way because of instances of abuse in a previous similar scheme. The Commission on Taxation is reviewing all tax reliefs, and indeed, all of the provisions in the tax code. The Commission will report to me later this year. The recommendations of the Commission will inform future Government policy on taxation issues.