Michael McGrath (Cork South Central, Fianna Fail)
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313. To ask the Minister for Finance the cost of capital gains tax entrepreneur relief in 2014; the projected cost in 2015; and if he will make a statement on the matter. [21742/15]

Michael Noonan (Limerick City, Fine Gael)
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CGT entrepreneurial relief was introduced to encourage entrepreneurs (in particular "serial" entrepreneurs) to invest and reinvest in assets used in new productive trading activities. The measure applies where an individual, who has paid capital gains tax on the disposal of assets, makes investments in a new business in the period 1 January 2014 to 31 December 2018 and subsequently disposes of this investment no earlier than three years after the date of investment. The CGT payable on the disposal of the new chargeable business assets will be reduced by the lower of (i) the CGT paid by the individual on a previous disposal of assets in the period from 1 January 2010 and (ii) 50% of the CGT due on the disposal of the new investment. This measure was included in Budget 2014 and Finance (No 2) Act 2013, subject to receipt of EU State Aid approval, and was subsequently put into effect in Finance Act 2014 with certain amendments to comply with EU State Aid rules and to improve the effectiveness of the relief.

Due to the conditions attaching to the relief, as outlined above, no Exchequer cost arises in either 2014 or 2015.

Jim Daly (Cork South West, Fine Gael)
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318. To ask the Minister for Finance if he will clarify the deductions of tax of a pension payment in respect of a person (details supplied) in County Cork [21850/15]

Michael Noonan (Limerick City, Fine Gael)
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I am advised by the Revenue Commissioners that the income of the person in question increased during 2014 compared to 2013.  In 2013, the person's income was below the exemption threshold and was not liable to tax; however, the increase in income during 2014 moved the person concerned above this threshold and a liability to tax arose.  A revised tax credit certificate issued to the person concerned reflecting the credits to which he was entitled having regard to the increase in income.