Éamon Ó Cuív (Galway West, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

320. To ask the Minister for Finance his plans to introduce a tax relief scheme for householders that experience continuous sewerage maintenance issues, that is, clearance of private combined drains or in some cases replacement of same; if there is any such scheme currently in existence; and if he will make a statement on the matter. [31019/15]

Michael Noonan (Limerick City, Fine Gael)
Link to this: Individually | In context | Oireachtas source

I have no plans to introduce an incentive along the lines suggested by the Deputy. The Deputy will appreciate that tax reliefs and exemptions have costs which have to be paid for and their introduction must be considered only where there is a clear economic and social policy need to be addressed.

As you will appreciate, I receive numerous requests for the introduction of new tax reliefs and the extension of existing ones. You will also appreciate that I must be mindful of the public finances and the many demands on the Exchequer. Tax reliefs, no matter how worthwhile in themselves, reduce the tax base and make general reform of the tax system that much more difficult.

I would mention however, that some assistance for the relevant householders, may be provided by the Home Renovation Incentive, which was introduced in Budget 2014. The scheme came into operation on 25 October 2013 and will run until 31 December 2015. The incentive provides income tax relief for homeowners by way of a tax credit at 13.5% of qualifying expenditure incurred on repair, renovation or improvement work carried out on a principal private residence. In Budget 2015 I extended the scheme to include rental properties, whose owners are subject to income tax.

Qualifying works are works which are subject to the 13.5% VAT rate. These works must cost a minimum of €4,405 (exclusive of VAT) which will attract an income tax credit of €595.  Where the cost of the work exceeds €30,000 (exclusive of VAT), a maximum income tax credit of €4,050 will apply. The credit is payable over the two years following the year in which the work is carried out.