Michael McGrath (Cork South Central, Fianna Fail)
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62. To ask the Minister for Finance the number of microbreweries availing of tax relief on production up to 30,000 hectolitres; the amount of excise duty foregone; and the number of jobs supported in the microbrewing industry, in each of the years 2011 to 2015; and if he will make a statement on the matter. [12267/16]

Michael McGrath (Cork South Central, Fianna Fail)
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63. To ask the Minister for Finance the rules governing the provision of tax relief for microbrewing firms; how they compare to competitor countries in the European Union; if he has reviewed these rules; and if he will make a statement on the matter. [12268/16]

Michael McGrath (Cork South Central, Fianna Fail)
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64. To ask the Minister for Finance why beer produced by microbreweries for export, and therefore not subject to domestic excise duty, is reckonable for the calculation of a production limit of 30,000 hectolitres for which tax relief is available; and if he will make a statement on the matter. [12269/16]

Michael Noonan (Limerick City, Fine Gael)
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I propose to take Questions Nos. 62 to 64, inclusive, together.

Article 4 of Council Directive 92/83/EEC provides that Member States may apply tax relief of up to 50% on the standard excise rate on beer exceeding 2.8% alcohol by volume that is produced in the EU by qualifying microbreweries.  Eligibility for the relief is determined, among other criteria, by the brewery's total production in the calendar year prior to the year of the claim period, including production for export. The production qualification threshold for microbreweries, and the maximum amount that may be claimed by them, is set by each Member State, but is subject to an upper annual production and claim threshold of 200,000 hectolitres under the Directive.

In Ireland, the production threshold is 30,000 hectolitres in the prior calendar year. The maximum quantity of beer on which relief is allowed for any qualifying brewery in any calendar year is 30,000 hectolitres. Following review of the scheme by my Department in 2014, these thresholds were increased from 20,000 hectolitres in Budget 2015. In Budget 2016, I introduced a further measure to allow the relief to be claimed upfront from January 2016. This measure is intended to reduce the cash-flow burden on microbrewers who, until this point, could claim by repayment only.

The production threshold limit of 30,000 hectolitres in the prior calendar year is set at that level to ensure that the relief can only be claimed by small undertakings.  This gives these small indigenous businesses encouragement and assistance to compete with larger breweries who enjoy the benefits offered by scale.

The production thresholds for qualification as a microbrewery vary across Member States. Beer brewed in qualifying microbreweries in other member states and brought into this State for consumption is eligible for the same relief as that which is produced in the State. Therefore, increases in the production threshold for microbreweries in this State will increase the volume of qualifying beer imported from other member states that is eligible for the relief also.

The Revenue Commissionershave published an information leaflet on the microbrewery relief on their website that can be accessed at the following link:.

The Commissioners inform me that, in the period from 2011 to 2015, the number of claimants for microbrewery relief increased from 17 to 73. The total amount of relief claimed under the scheme in that period amounts to €9 million. This includes relief paid for beer produced in qualifying microbreweries in other Member States and brought into this State for consumption.  The following table sets out the detail of the number of claimants and the total amount of relief paid in the period from 2011 to 2015.

Table: Relief Paid on Beer Produced in a Qualifying Microbrewery 201-2015