Denis Naughten (Roscommon-South Leitrim, Fine Gael)
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Question 76: To ask the Minister for Finance his plans to implement the provisions of the Finance Act 2011 regarding tax relief for the retrofitting of homes; the provision made in the 2011 Estimate; and if he will make a statement on the matter. [14642/11]

Michael Noonan (Limerick City, Fine Gael)
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Section 13 of Finance Act 2011 provided for income tax relief at the standard rate for expenditure incurred by individuals on a range of works carried out to improve the energy efficiency of residential premises situated in the State. The maximum amount of expenditure that could qualify for relief in any one tax year under the scheme was €150 million. The section is subject to a Ministerial Commencement Order.

There was no provision made in the 2011 estimate for this relief as it was designed such that the relief would be claimed in the year following that in which the work was completed and the expenditure incurred.

Due to the truncated timetable available for Finance Bill 2011, it was not possible to consider a number of potential legislative amendments to the scheme, and thus the legislation as it currently stands is inherently flawed.

The Government announced additional funding for energy efficiency measures in the Jobs Initiative on 10 May 2011, via the grants available from the Sustainable Energy Authority of Ireland (SEAI). Against this background, I have decided to review the need for a separate tax relief for similar works.