Pearse Doherty (Donegal, Sinn Fein)
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419.To ask the Minister for Finance the estimated cost of increasing the income tax standard rate band by €500 in 2025, a further €500 in 2026, a further €500 in 2027, a further €500 in 2028 and a further €500 in 2029, respectively. [33292/24]

Pearse Doherty (Donegal, Sinn Fein)
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420.To ask the Minister for Finance the cost of increasing the income tax standard rate band by €1,000 in 2025, a further €1,000 in 2026, a further €1,000 in 2027, a further €1,000 in 2028 and a further €1,000 in 2029, respectively. [33295/24]

Jack Chambers (Dublin West, Fianna Fail)
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I propose to take Questions Nos. 419 and 420 together.

The estimated cost of increasing the income tax standard rate band by €500 or by €1,000 can be found in the Revenue Ready Reckoner (Post Budget 2024).

The Ready Reckoner is available on the Revenue website at:

www.revenue.ie/en/corporate/information-about-revenue/statistics/ready-reckoner/index.aspx

An update of the Ready Reckoner is due to issue in the coming weeks.

Amounts other than those shown can be extrapolated using a straight line or pro-rata calculation. For the convenience of the Deputy, the relevant costs are set out below.

I am advised by Revenue that estimates of tax costings for Income Tax are provided on the basis of the current Budget year (2024) rather than the next Budget year (2025). The Revenue Pre-Budget Ready Reckoner (due to be published end August) will be on the basis of Budget year 2025. I am further advised that Revenue cannot provide estimates for later years due to the unknown nature of the future tax base and future economic behaviour.

Pearse Doherty (Donegal, Sinn Fein)
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421.To ask the Minister for Finance the first- and full-year costs in each of the years 2025, 2026, 2027, 2028 and 2029 of extending the reduced 9% rate of VAT applying to electricity and gas. [33303/24]

Jack Chambers (Dublin West, Fianna Fail)
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The estimated annual cost of applying a 9% VAT rate to gas and electricity is €342m (€253m for electricity and €89m for gas). The estimated cost for the November/December 2024 VAT period is €63m (€44m for electricity and €19m for gas).

While the first year cost for VAT measures is usually lower because the revenue from the November/December VAT period is not collected until the following year, it should be noted that for this measure, if the 9% VAT rate for gas and electricity was applied in the November/December 2024 VAT period the first year cost for applying the 9% VAT rate in 2025 would remain €342m.

It is important to be aware that estimates of tax costings for VAT are provided on the basis of the current Budget year (2024) rather than the next Budget year (2025). The Budget year costings for 2025 are prepared for the party costings service and are used to feed into costings requested by the Department of Finance in advance of the Budget. The Revenue Pre-Budget Ready Reckoner (published end August) will also be on the basis of Budget year 2025.

I am advised that Revenue cannot provide estimates for later years due to the unknown nature of the future tax base and future economic behaviour.