I assure the Deputy that this is very much on my desk. I have a further meeting today. I am very anxious to finalise the arrangements for the tax debt warehousing scheme very shortly. The Deputy is correct that businesses want to plan. They need to manage their cash flow and understand the position for dealing with the warehoused debt over the coming years. What has been put in place so far is very good. It is a very good scheme. The normal interest rate for tax debt is 10% for most taxes and 8% for income tax. In …

At the time of budget 2024, corporation tax was projected to reach €24.5 billion for this year and €25.8 billion for 2025. The assumption in the budget fiscal projections is that the impact of the OECD BEPS agreement on revenues will not materialise until 2026. The Government’s fiscal strategy is based on the assumption that a large proportion of the rise in corporation tax seen in recent years is windfall in nature, not linked to our domestic economy, and likely to be transient. That is why the Government is estab…

In Ireland our corporation tax system is statute based. The reliefs, exemptions and credits the Deputy refers to are clearly defined in law and consistently applied. We have transposed the EU minimum tax directive and we will apply the minimum effective rate in line with the requirements of that directive and in line with the legislation that we have passed which is now consistent with that directive. The issue historically has been that in Ireland we have had a relatively low rate, but applied to a broad base. Man…

The Deputy's central thesis seems to be that multinationals are not paying enough tax in Ireland but if one looks at the data and the pattern over the past number of years, the amount of tax that we are actually collecting in Ireland on corporation tax has increased dramatically. It increased multifold in recent years, and the Deputy knows that.

Profits have as well and the amount of tax paid is, of course, a direct function of profitability. The allowances and the credits that we have are clear. They are transparent, they are laid out in law and they are consistently applied. They are now fully consistent with pillar 2 of the global agreement. To conclude the answer to the first point, which addresses the Deputy's question around projections, I have given a commitment to Deputy Doherty and to the Deputy and others, as part of the Joint Committee on Financ…

I propose to take Questions Nos. 87 and 156 together. At the outset, the Deputy should note that the final report of the national disability inclusion strategy transport working group’s review of mobility and transport supports, including the disabled drivers and disabled passengers scheme, endorsed proposals for a modern, fit-for-purpose vehicle adaptation scheme in line with international best practice that would replace the current disabled drivers scheme, as it is no longer fit for purpose on any and all aspect…

I do not have a specific date for the next meeting but I expect it will take place shortly. My own view, and I have put this on record on a number of occasions, is that there is a need for a new scheme. That was the central conclusion of the report. I do not believe the existing criteria for the primary medical certificate, which is the gateway or access point to the disabled driver and disabled passenger scheme, are appropriate. It should be a needs-based assessment. An expenditure scheme is much more appropriate.…

We need to bring this to a conclusion and finalise the development of a replacement scheme. My role, as Minister for Finance, is to continue to operate the existing scheme and to use the information, experience and knowledge that we have gained in the Revenue Commissions and in my Department in the operation of the existing scheme to feed into the design of a new one, and that is what we are doing. I have not stood still on this issue. As the Deputy will know, last year, I introduced new regulations that establishe…

I thank Deputy Carthy. The Ireland Strategic Investment Fund, ISIF, portfolio is constructed within the legislative framework set for it by the Oireachtas. ISIF endeavours to be a responsible investor, actively integrating environmental, social and governance, ESG, factors into its decision-making processes with a view to enhancing the overall outcomes for the fund and ultimately its beneficial owner. In this context, ISIF operates an exclusion policy that is consistent with its statutory mandate, as amended from t…

The position of the Government is clear in respect of the awful events we are witnessing in the Middle East. There should be an immediate and full ceasefire. Hamas should release all the hostages and humanitarian aid should be allowed in to the people of Gaza immediately. That is the position of the Government and it is what we will continue to advocate for at all the international forums in which we participate. The Sinn Féin Bill on this issue, as the Deputy will know, was subject to a timed amendment. Department…

It is important any Government response be carefully considered and comprehensive. The Deputy will acknowledge that since his party's legislation was brought forward, the UN has updated its list. I have been engaging directly with my officials and the Ireland Strategic Investment Fund, and we recognise the role we have to play on this issue. It is important we ensure that Government policy is reflected in the decisions that are made on the investment front. I am working through this and considering what the options…

Interest rate setting and transaction charges are ultimately matters for banks themselves as commercial entities. The banks in turn are influenced by the general interest rate environment, their own risk appetite and competitive pressures in the market. In the initial months of the ECB's tightening cycle, Irish banks lagged behind euro area banks when passing on interest rate rises on both lending to and deposits from households. Pass-through of interest rate hikes, however, which is necessary to tackle inflation, …

I thank the Deputy. We should acknowledge that collectively we have a role to play because when I dug into this matter a little deeper and looked at the numbers it was clear the overwhelming majority of savings people have are in instant access accounts or current accounts, not in deposit accounts or term notice accounts where the interest rate is much higher. We can help ourselves, in addition to putting pressure on the institutions to ensure there is an appropriate level of pass-through. That is on the savings si…

When it comes to the level of fees, the Central Bank of Ireland has the key role in terms of legislation and regulation of those fees. The Deputy's points will be taken note of. It is important that individual consumers and businesses have as much choice as possible when it comes to methods of payment. The Deputy will be aware that I brought forward the heads of Bill on the issue of access to cash, which will help to protect the ATM network in communities all over Ireland and will also protect the cash lodgment ser…

As the Deputy knows, the 9% VAT rate was due to expire in February 2023 and the Government took a decision, on an exceptional basis, to extend it for a further six months to the end of August 2023. It reverted to the normal rate at that point in time. That was the agreed position of the Government and remains the agreed position of the Government. To be clear in terms of where Ireland stands, because I have seen different commentary on this issue, Ireland's VAT rate on food services, cafes and restaurants is eighth…

The Government does not have any plans to change the rate of VAT. It is important to put on the record that no political party in this House that I am aware of has called for such a reduction either. The key issue raised by businesses with me consistently is costs, not a lack of demand. It is the accumulation of various costs imposed on them, many by direct Government decisions. That is what we need to reflect on in the period ahead. The only way a reduction in VAT would improve the viability of a business is if th…

I will answer that. I thank Deputy Doherty for raising the issue. He has tabled a number of parliamentary questions on this issue, and we have discussed it previously. I reassure him that there is work on the way. My Department is working very closely with the Central Bank of Ireland and Department of Justice. There is legislation emerging at EU level as well, namely, Payment Services Directive 3, and there will be enhanced authentication requirements. I will set out in writing to the Deputy a comprehensive reply o…

I thank Senator Kyne for his recommendation. The Senator's proposal relates to producing a report on the merging of the universal social charge with income tax as a means of simplifying the administrative burden of tax on businesses and organisations. By way of background, USC was designed and incorporated into the Irish taxation system in 2011 to replace two other charges, namely, the health and income levies. The primary purpose of USC was to widen the tax base and to provide a steady income to the Exchequer to p…

We all agree that the need to accelerate the delivery of additional new houses remains acute. Section 6 of the Bill provides support to the new-build housing market by extending the help-to-buy scheme for a further year to the end of 2025. Section 6 also amends the help-to-buy scheme to enhance its interaction with the local authority affordable purchase scheme. This amendment will enable the use of the affordable dwelling contribution received by purchasers through the affordable purchase scheme for the purposes o…

I thank both Senators again, and I understand the issue they have raised. Senator Casey, in particular, took me through a number of specific examples of a constituency impacted by this. I followed up on the issue and examined it to see what could be done. In the case of the interaction with the local authority affordable purchase scheme, it was more straightforward because that is a statutory scheme and did not involve any other parties that had to be consulted and whose agreement had to be provided. The first home…