Caoimhghín Ó Caoláin (Cavan-Monaghan, Sinn Fein)
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Question 99: To ask the Minister for Finance the reason landlords resident outside the State cannot pay tax on their rental income directly but must rely on their tenant to make the payments; and if he will make a statement on the matter. [47255/09]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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I am advised by the Revenue Commissioners that under existing tax legislation a tenant paying rent to a non-resident landlord in respect of property located in the State is obliged to deduct income tax at the standard rate unless the non-resident landlord is assessable and chargeable to income tax in the name of a representative in the State. These provisions are designed to promote greater compliance having regard to the risk factors associated with non-resident taxpayers and ensure, in the case of non-resident landlords who don't have a representative here, that a minimum tax payment is made in respect of rental income arising here. A non-resident landlord will normally pay income tax in his or her own country of tax residence in respect of worldwide income (including Irish source rental income), subject to a credit for Irish tax deducted if there is a double taxation treaty in place.