Willie Penrose (Longford-Westmeath, Labour)
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105. To ask the Minister for Finance the legislative basis underpinning the obligation for employers to provide employee with their P45s upon cessation of employment; if there is any mechanism to compel employers to provide employees with this important document; the penalties that are attached to employers who fail to comply with their statutory obligations; and if he will make a statement on the matter. [28102/15]

Michael Noonan (Limerick City, Fine Gael)
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The legal basis for the operation of the Pay As You Earn (PAYE) system by employers is the Income Tax (Employments) (Consolidated) Regulations, 2001. Regulation 20 provides that an employer must issue a Form P45 immediately an employee ceases employment. Section 987 of the Taxes Consolidation Acts 1997 provides for a penalty of €4,000 where an employer fails to issue a P45.   If the employer is a body of persons, the secretary is liable to a separate penalty of €3,000.

I have been advised by the Revenue Commissioners that employers obligations in this regard are included in their Employers Guide to PAYE. A notice from Revenue to employers in June 2014 highlighted the importance of giving an employee a Form P45 immediately on cessation.   

I am informed by the Revenue Commissioners that instances where an employee has not been provided with a Form P45 should be brought to their attention through the employee's local Revenue District. If the Deputy has specific information in relation to non-compliance with the obligation to issue a Form P45 upon cessation of employment, he may wish to follow-up directly with Revenue in that regard.

Shane Ross (Dublin South, Independent)
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106. To ask the Minister for Finance if he will consider including rental income derived from AirBnB rentals under the rent-a-room relief, as opposed to it being subject to income tax, as is presently the case; if he considers there is an unfair distinction between sources of rental income; and if he will make a statement on the matter. [28023/15]

Michael Noonan (Limerick City, Fine Gael)
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I have no plans to extend the rent-a-room scheme to include guest accommodation lettings under AirBnB. The rent-a-room scheme is intended to increase the supply of rental accommodation by incentivising homeowners to rent out rooms in their principal primary residences to individuals on a residential basis.

A copy of an e-brief in relation to the interaction between AirBnB and rent-a-room relief was issued by the Revenue Commissioners on 03 February 2015. This e-Brief can be found on the Revenue website atwww.revenue.ie/en/practitioner/ebrief/2015/no-212015.html.

Terence Flanagan (Dublin North East, Independent)
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107. To ask the Minister for Finance his views on a matter (details supplied) regarding tax individualisation; and if he will make a statement on the matter. [28046/15]

Michael Noonan (Limerick City, Fine Gael)
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The system of individualisation has been in the tax code since 1999. It is my view that individualisation has now bedded into the tax system to a degree where it cannot be changed easily, and there are no plans to do so. To complete or to reverse individualisation would cost in the region of €800 million.

The issue of tax individualisation was considered by the Commission on Taxation in 2009 and that body recommended that no change should be made to the current system. It concluded that the current system represents a balance between, on the one hand, acknowledging the choices families make in caring for children and, on the other, taking account of the need to encourage labour market participation. 

I would point out that the changes to the income tax system included in Budget 2015 mean that all those who paid Income Tax and / or USC in 2014 will see a reduction in their tax bill for 2015 where incomes are equal. I intend to continue to reduce the tax burden on low and middle income earners in this manner in future budgets, subject to having the required fiscal space.