Peadar Tóibín (Meath West, Sinn Fein)
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71. To ask the Minister for Finance the effect the non-application of income tax rules on foreign music performance has on the development of Irish musicians and their craft. [27053/18]

Paschal Donohoe (Dublin Central, Fine Gael)
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An Irish tax resident person is subject to Irish income tax on their world-wide income, including income from a foreign source such as fees from performances abroad. If the performance fees are paid in a jurisdiction with which Ireland has a Double Taxation agreement, relief may be granted for foreign tax paid by way of a credit against any Irish tax that may be due.

In the case of a music artist who is not tax resident or ordinarily tax resident in the State, their liability to Irish tax is only on income where it arises from the exercise of their profession in the State, such as concert performances.

Further, the artist’s performance fee is also subject to VAT for concerts that take place in Ireland, following the EU Directives that govern the application of VAT within the Single Market of the European Union. In the case that the concert has an Irish promoter, it is Irish VAT that is applied.

While the collection of Irish tax is not directly linked with the development of Irish musicians and their craft, I would remind the Deputy that Irish tax receipts form part of the Exchequer which in turn funds the provision of public services that are administered by the State, including the various grants and supports that are given to Irish musicians and their craft.