Eoin Ó Broin (Dublin Mid West, Sinn Fein)
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225. To ask the Minister for Finance his views on whether it is appropriate for purchasers of homes availing of the help to buy scheme to be asked by the seller of the property if they are eligible for the scheme before the price of the property is revealed; his further views on whether such practices could be used to inflate house prices; and if an investigation will be carried out into this practice and action taken to address any issues that arise from such an investigation. [23769/21]

Paschal Donohoe (Dublin Central, Fine Gael)
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The Help to Buy (HTB) incentive was introduced in 2017. The measure is currently scheduled to expire on 31 December 2021. HTB gives a refund of Income Tax and Deposit Interest Retention Tax (DIRT) paid in Ireland over the previous four years, subject to limits outlined in the legislation. An increase in the supply of new housing remains a priority aim of Government policy. The HTB scheme is specifically designed to encourage an increase in demand for affordable new build homes in order to encourage the construction of an additional supply of such properties.

An increase in the supply of new housing is fundamental to resolving the current housing crisis. By restricting the scheme solely to new dwellings and new self-builds, it is anticipated that the resulting increase in demand for affordable new build homes will encourage the construction of an additional supply of such properties. In accordance with a commitment in the Programme for Government, HTB was enhanced in July 2020.

With regard to the Deputy's question, the obligations of the various parties with regard to the HTB scheme are as set out in section 477C of Taxes Consolidation Act 1997 and, as the Deputy will be aware, the circumstances mentioned by him form no part of the scheme. The position is that the transaction process for the purchase of a property is primarily a matter between the vendor and the purchaser having regard to the legal framework which applies to such purchases. Furthermore, I do not believe any reasonable person could support practices that are seen to be unfair or lacking in transparency.

Notwithstanding this, I have been advised by Revenue that, as far as it is aware, no instances of the circumstances described by the Deputy have been reported to it.