Dominic Hannigan (Meath East, Labour)
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Question 47: To ask the Minister for Finance the discussions he has had with the airline superannuation scheme about the impact the pension levy will have on the individual pensioners payments; and if he will make a statement on the matter. [28004/11]

Michael Noonan (Limerick City, Fine Gael)
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I have not had discussions with representatives of an airline superannuation scheme about the pension fund levy.

The stamp duty levy of 0.6% applies to the market value, on the valuation date, of assets under management in pension funds and pension plans approved under Irish tax legislation. I am not in a position to comment on what the precise impact of the levy will be on individual funds, schemes, members or retired members as this depends on whether and to what extent pension fund trustees and Life Offices decide to pass on the levy to individual members, given the particular circumstances of the pension funds or pension plans that they are responsible for.

I can say that the Finance (No 2) Act 2011 provisions which introduced the levy include certain safeguards in this area. The payment of the levy is treated as a necessary expense of a scheme and the trustees or insurer, as appropriate, will be entitled where needed to adjust current or prospective benefits payable under a scheme to take account of the levy. However, should the option of reducing scheme benefits be taken, it must essentially be applied in an equitable fashion across the different classes of scheme members that could include active, deferred and retired members. In no case may the reduction in an individual member's or class of member's benefits exceed the member's or class of member's share of the levy. The Revenue Commissioners are also afforded oversight authority to review instances where benefits are adjusted as a result of the payment of the levy to ensure that any such adjustment is made in accordance with the requirements of the levy legislation. In undertaking any such review Revenue may consult with appropriate experts as they see fit.