Joan Burton (Dublin West, Labour)
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Question 259: To ask the Minister for Finance the number of interest bearing deposit accounts here, and their value; the number of interest bearing deposit accounts here exempt from DIRT, and their value; the amount of DIRT accruing to the State in the most recent tax year; the amount of DIRT foregone by the State in the most recent tax year on DIRT exempt accounts; the single largest instance of DIRT foregone by the State in the most recent tax year; the number of individuals to whom DIRT-exempt interest in the sum of €1m or more accrued in the most recent tax year; and if he will make a statement on the matter. [1047/11]

Brian Lenihan Jnr (Dublin West, Fianna Fail)
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I am advised by the Revenue Commissioners that Deposit Interest Retention Tax (DIRT) on interest bearing deposits is returned on a twice yearly basis by financial institutions: in October of the tax year in question and the following January. The total value of DIRT due and paid and the total number of DIRT exempt interest bearing accounts is reported to Revenue on the January returns at institutional level. Returns for 2010 are due by 15 January 2011. Revenue does not have complete details on interest bearing deposit accounts here and their value. Separately, under regulations as provided for in Section 891B of the Taxes Consolidation Act 1997, certain financial institutions, such as banks and credit unions, are required to make automatic annual returns at account level electronically to Revenue. The information under S891B is provided where the total payment of interest is greater than €635 in a year, regardless of deduction of DIRT, and in all instances of a first interest payment irrespective of threshold for accounts opened on or after 1 January 2008. These returns include DIRT exempt accounts. Returns for 2010 are due by the end of March 2011.

The total number of interest bearing deposit accounts reported under the regulations for 2009 is 1,272,899. The total value of interest paid to these accounts for 2009 is €3,203,923,841.71. Financial institutions reported 93,100 such accounts as being exempt from DIRT. Revenue does not have data on the value of DIRT forgone in respect of such accounts.

The amount of DIRT collected by the State in the most recent tax year (2010) to date is €446 million approximately. The amount of DIRT collected in 2009 was €614 million approximately.

The EU Council Directive 2003/48/EC of 3 June 2003 on taxation of savings income in the form of interest payments, commonly known as the "Taxation of Savings Directive", introduced a system of information sharing between tax authorities in respect of interest payments from 1 July 2005. The purpose of the Directive is to ensure that interest payments made in one EU Member State to an individual resident for tax purposes in another Member State are taxed in accordance with the laws of the latter.

Under this Directive the Revenue Commissioners provides information regarding interest payments made by Irish paying agents to individuals resident in other EU Member States. DIRT is not paid on these accounts. A detailed breakdown of the information reported under the Directive is not currently available.