Noel McCarthy (Cork East, Fine Gael)
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483. To ask the Minister for Finance if a couple looking to purchase a property are eligible for admission to the help-to-buy scheme if those selling have previously availed of the scheme for the original purchase of the same property but are now set to repay the grant as they did not spend the required number of years living there; and if he will make a statement on the matter. [24226/25]

Paschal Donohoe (Dublin Central, Fine Gael)
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The Help to Buy (HTB) incentive is a scheme to assist first-time purchasers with the deposit they need to buy or build a new house or apartment. It also has as an aim to encourage additional supply of new houses by supporting demand. The incentive 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.

The legislation governing the HTB scheme is set out in section 477C of the Taxes Consolidation Act (TCA) 1997 and outlines the definitions and conditions that apply to the HTB scheme.

With regards to a residence that is not a self-build residence, section 477C(3) TCA 1997 provides that a first-time buyer may make a HTB claim where they have entered into a contract with a qualifying contractor for the purchase of a qualifying residence.

Section 477C(1) TCA 1997 defines a ‘qualifying residence’ as a new building which was not, at any time, used, or suitable for use, as a dwelling.

Section 477C(17)(b) TCA 1997 provides for a claw back of HTB where the minimum occupation period of 5 years is not met. This claw-back provision is not related to the HTB scheme’s eligibility rules, nor is it related to the definition of a ‘qualifying residence.’ As such, while a claw-back has occurred in relation to a property previously considered a ‘qualifying residence,’ this has no effect on whether the property meets the definition of a ‘qualifying residence’ for the purpose of the HTB scheme.

Revenue advises me that, as per the information presented, the property in question was used by its previous owners as a dwelling. Therefore, the property does not come within the definition of a ‘qualifying residence’ for the purpose of the HTB scheme. Accordingly, the HTB relief is not available in these circumstances.