Louis O'Hara (Galway East, Sinn Fein)
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270. To ask the Minister for Finance if his Department has considered reforming the tax exemption rules surrounding the Taxsaver commuter ticket scheme to allow all employees to have access to this scheme; and if he will make a statement on the matter. [40821/26]

Louis O'Hara (Galway East, Sinn Fein)
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271. To ask the Minister for Finance if his Department has considered reforming the taxsaver commuter ticket scheme to allow all employees to have access to this scheme; and if he will make a statement on the matter. [40822/26]

Simon Harris (Wicklow, Fine Gael)
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I propose to take Questions Nos. 270 and 271 together.

As the Deputy will be aware, the TaxSaver scheme provides an exemption from benefit-in-kind (BIK) where an employer purchases a travel pass for one of their employees or directors, subject to certain conditionality.

As an exemption from BIK, the scheme only applies where an employer purchases a travel pass for an employee (or director), or enters into a salary-sacrifice arrangement in exchange for a travel pass.

Where an employer choses not to take part in the scheme, relief is not available to employees (or directors). However, if an employer participates in the scheme, employer’s PRSI is not payable on the cost of the relevant benefit(s) according to the deduction from their employees' salary payments. This saving to employers is a key incentive for employers to make the scheme available to their employees.

Further, while the conditionality around the BIK exemption for the TaxSaver scheme falls under my remit as the Minister for Finance, I would ask the Deputy to note that the scope and conditions of the travel passes on offer are a matter for the individual transport providers. In respect of the day-to-day operations of public transport, including TaxSaver ticket offerings, it is the National Transport Authority that has responsibility for the regulation of fares charged to passengers in respect of public transport services provided under Public Service Obligation contracts.

As with all tax policy measures, the TaxSaver scheme is kept under review by Department of Finance officials. In considering proposals in respect of tax expenditures, the Government must be mindful of the public finances and the many demands on the Exchequer.

Finally, and as the Deputy will appreciate, it is a longstanding practice of the Minister for Finance not to comment, in advance of the Budget, on any tax matters that might be the subject of Budget decisions.