Seán Fleming (Laois-Offaly, Fianna Fail)
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To ask the Minister for Finance the reduction in tax expenditure that would be achieved by reducing the ceiling on the tax exempt earning of artists from €40,000 to €30,000; and if he will make a statement on the matter. [49270/12]

Michael Noonan (Limerick City, Fine Gael)
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It is assumed that the imposition of a cap of €30,000 would have the effect of withdrawing the tax exemption from all qualifying income in excess of €30,000. The full year yield to the Exchequer, estimated by reference to the tax year 2010, the latest year for which the necessary detailed information is available, is approximately €1.3 million. However, this figure does not take account of the application of the high income individuals’ restriction to specified reliefs, including the artists' exemption and thus the actual yield could be lower. The restriction was originally provided for in Finance Act 2006 and was significantly tightened in Finance Act 2010. Individuals are now subject to the restriction where they have adjusted income of €125,000 and claim specified tax reliefs of €80,000 or more. Those subject to the full restriction now pay an effective income tax rate of 30% in addition to PRSI and Universal Social Charge.

In addition, it must be stressed that this estimate assumes no significant behavioural change on the part of the affected taxpayers. Moreover, the application of income tax to this income source could also lead to additional claims being made for expenses and allowances by persons currently exempt.

Seán Fleming (Laois-Offaly, Fianna Fail)
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To ask the Minister for Finance the reduction in tax expenditure that would be achieved by abolishing tax relief for medical expenses; and if he will make a statement on the matter. [49271/12]

Michael Noonan (Limerick City, Fine Gael)
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I am advised by the Revenue Commissioners that the estimated full year cost to the Exchequer of income tax relief for medical expenses is €127 million in respect of the income tax year 2010, the latest year for which the relevant information is available. On this basis, the full year yield to the Exchequer of abolishing this relief would be of the same order.

Seán Fleming (Laois-Offaly, Fianna Fail)
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To ask the Minister for Finance the saving that would be achieved by reducing the age exemption limit from €18,000 for a single person, €36,000 for a married couple, to €17,000 for a single person and €34,00 for a married couple; and if he will make a statement on the matter. [49272/12]

Michael Noonan (Limerick City, Fine Gael)
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I am advised by the Revenue Commissioners that the full year yield to the Exchequer, estimated by reference to 2013 incomes, of reducing the age exemption limits by €1,000 and €2,000 for single and married respectively would be of the order of €24 million. This figure is an estimate from the Revenue tax-forecasting model using actual data for the year 2010 adjusted as necessary for income and employment trends in the interim. It is, therefore, provisional and may be revised.

Seán Fleming (Laois-Offaly, Fianna Fail)
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To ask the Minister for Finance the saving that would be achieved by ending the exemption from PRSI and universal social charge for save as you earn schemes; and if he will make a statement on the matter. [49273/12]

Michael Noonan (Limerick City, Fine Gael)
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I assume the Deputy is referring to the bonus or interest payable under a savings arrangement in connection with a certified contractual savings scheme. Any such bonus or interest payable qualifies for exemption from income tax and is also exempt from PRSI and USC. These schemes in general have restrictive conditions and generate very small bonuses or interest payments and as such any removal of the exemption would be expected to yield relatively small amounts of PRSI and USC.

I am informed by the Revenue Commissioners that, based on the bonuses and interest paid in 2011, the potential savings would be in the order of €75,000.

The Deputy will be aware that any gain realised by individuals on the exercise of share options under these schemes is already liable for employee PRSI and USC. In addition, any subsequent disposal of the shares may also give rise to a capital gains tax liability depending on movements in the market value of the relevant shares.