Richard Boyd Barrett (Dún Laoghaire, People Before Profit Alliance)
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20. To ask the Minister for Finance if he is considering new taxation measures to replace possible losses in tax revenue given the policy announcements of the new Trump US administration and potential implications for Ireland's tax revenues; and if he will make a statement on the matter. [5107/25]

Paschal Donohoe (Dublin Central, Fine Gael)
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We have noted the review process commenced in the US, and as ever we will engage constructively with the administration and with our partners in the EU and OECD.

All taxes are considered annually as part of the Budgetary process and the Programme for Government 2025, Securing Ireland’s Future, commits the Government to maintaining a broad tax base to guard against the need for counter-cyclical fiscal policy as well as maintaining a tax system that supports innovation and entrepreneurship.

In relation to the sustainability of Ireland's current levels of corporation tax, a number of steps have been taken in recent years to ensure that everyday Government expenditure plans do not rely on the current high level of corporation tax receipts, which may be cyclical in nature.

My Department published a paper, De-Risking the Public Finances - Assessing Corporation Tax Receipts , in September 2022 highlighting the risks associated with potentially transient corporation tax receipts. This informed a process which resulted in establishment of the Future Ireland Fund and the Infrastructure, Climate and Nature Fund. These Funds are designed to save and invest resources to deal with known and unknown long-term pressures on public expenditure; to support countercyclical expenditure and help address specific climate and nature problems and continue to maintain a stream of investment in the domestic economy though the Ireland Strategic Investment Fund.

Matt Carthy (Cavan-Monaghan, Sinn Fein)
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21. To ask the Minister for Finance the details of the increases to carbon tax on diesel and petrol he plans to introduce over the course of this Government; and if he will review the proposed increases in light of the cost-of-living crisis faced by many families, businesses and farmers and further to the fallout of storm Éowyn. [4904/25]

Paschal Donohoe (Dublin Central, Fine Gael)
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The Deputy should note that I and the Government are conscious of the implications of fuel costs for all sectors of society.

While taxation does affect the final retail price of fuel, a number of factors also contribute to the final cost including energy market dynamics, wholesale pricing, individual retail pricing policy, transport costs, and exchange rate fluctuations.

The best way of insulating our economy and society from fuel prices shocks is to reduce our dependence on fossil fuels. As the deputy will be aware, Finance Act 2020 legislated for annual increases in the carbon tax rate of €7.50 until 2029 and a final increment of €6.50 bringing the rate to €100 per tonne of carbon dioxide in 2030.

Since 2020 additional revenue raised from these increases in the carbon tax are allocated for expenditure on measures related to the Just Transition and climate action. This includes part-funding the roll out of a national retrofitting programme, targeted welfare intervention measures and funding for greener farming practices. This policy approach is informed by ESRI research on fuel poverty prevention and is supported by the Climate Change Advisory Council.

In relation to the aftermath of Storm Éowyn, the Humanitarian Assistance Scheme, which operates under the Minister for Social Protection, is providing humanitarian aid to assist with essential food, heating and accommodation needs. The Humanitarian Assistance Scheme can also provide support for replacement of goods and more extensive longer-term support.

I am satisfied that the long term policy approach to carbon tax policy which involves targeted interventions to prevent fuel poverty and the support schemes in place for those affected by Storm Éowyn are operating as they should to protect vulnerable households.