Richard Bruton (Dublin North Central, Fine Gael)
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Question 54: To ask the Minister for Finance the interest rates charged on underpayments of tax or late payments; if he will consider modifying them at this time when bank credit for working capital is so constrained. [42379/09]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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Interest charges are imposed by the Revenue Commissioners to compensate the Exchequer for the late payment of tax and to ensure that businesses that pay their tax debts in a timely manner are not put at a competitive disadvantage by those businesses that pay late. Notwithstanding the more difficult economic and financial environment for business, timely compliance with tax payment obligations is essential.

The statutory rates of interest charged by the Revenue Commissioners in relation to late payment of tax and underpayment of tax were reduced in the Finance Act 2009. The current daily rates of 0.0219% for most taxes and 0.0274% for fiduciary taxes give respective annualised equivalents of 8% and 10% approximately and took effect from 1 July 2009. My Department monitors these interest rates on an on-going basis and assesses their appropriateness having regard to prevailing interest rates and the need to support and maintain high levels of voluntary timely compliance. While the matter is reviewed as appropriate, I have no plans for a further revision at this time.

Richard Bruton (Dublin North Central, Fine Gael)
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Question 55: To ask the Minister for Finance the amount of income tax which was raised in the years 1982, 1987, 1989, 1992, 1994, 1997, 2002 and 2007; and if he will make a statement on the matter. [42381/09]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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The Finance Accounts, which are the audited Financial Statements of the Exchequer, are published on an annual basis. Included in the accounts are Exchequer tax receipts by tax-head. Set out in the following table are Income Tax receipts in millions of euros for each of the years in question.

Seán Ó Fearghaíl (Kildare South, Fianna Fail)
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Question 56: To ask the Minister for Finance if he will consider correspondence (details supplied) in relation to a VAT refund issue; and if he will make a statement on the matter. [42388/09]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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The question of whether farmers are entitled to claim credit for, or a repayment of, VAT charged to them on the purchase of the Heatime, which allows for more accurate heat detection in cows, depends on whether or not the farmer is registered for VAT. Farmers who are registered for VAT are accountable persons for VAT in respect of all their taxable activities and would be entitled to claim input credit for VAT charged on goods and services used in their taxable activities. The purchase of the Heatime product would be covered by this entitlement.

In so far as farmers who are not registered for VAT are concerned, they are not in the normal course entitled to credit for, or repayment of, VAT incurred by them on their business inputs. The Value-Added Tax (Refund of Tax) (No 25) Order, 1993 does provide for refunds to unregistered farmers for tax borne on the "construction, extension, alteration or reconstruction of any building or structure which is designed for use solely or mainly for the purposes of a farming business".

I am informed by the Revenue Commissioners that in November 2008, the VAT Interpretation Branch of Revenue considered a claim for refund under this order in respect of tax borne on a Heatime system. The matter was examined in detail, based on the information provided in support of the claim to Revenue and the detailed information available on the supplier's website. Based on this examination a decision was made that the Heatime system could not be considered "construction, extension, alteration or reconstruction of a building or structure" and consequently, does not come within the scope of the Order. I have been advised that there is no record of any refund having been made to an unregistered farmer since November 2008.

I understand that the Heatime system consists of three different components, a neck tag worn by each animal, a control box, and an ID unit, which reads the information from the tag as the animal passes. The control box and the ID unit are required to be attached to a wall or permanent structure and are connected to the electrical supply. Although two of the components are attached to a permanent structure the installation of these items could not be considered as the "alteration of a building or structure" and therefore VAT would not be refundable under the Order. A milking system or feeding system referred to in the correspondence supplied would only be refundable under the Refund Order if the nature and installation of the system were such that it involved the alteration or reconstruction of a building or structure.