I thank Deputy Lawless. It is worth acknowledging that we are implementing the agreed position of the three parties in government. We negotiated a programme for government that provides for indexation of credits and bands as earnings have begun to grow following Covid. We have made significant progress on tax credits. Increasing credits results in a fair distribution of the benefit. We have also increased the entry point to the marginal rate and made changes to the USC. These are the three key pillars. Next year, w…

I propose to take Questions Nos. 86 and 93 together. I thank Deputy Dillon for raising this issue. It has been the long-standing position of Government that the international tax system needs to keep pace with changes in how business is being conducted globally. In terms of the action occurring on tax issues in the crypto-asset sector, officials in the Department of Finance and Revenue have been involved in developing the crypto-asset reporting framework, CARF, in recent years. CARF is an international standard for…

It is a complex area, and one that is rapidly evolving. My Department is paying close attention to developments in this area. It is important to say that Ireland is already recognised as a global leader in the exchange of information. Exchanging information on crypto-assets is important and reinforces our commitment to best international practice and tax transparency. Given the nature of the issue at hand, we can only address it collectively with countries working together through established frameworks. It is also…

I assure the Deputy that the Revenue Commissioners are active in this space. It is important we take every opportunity to remind people of what the taxation obligations are, in particular in an emerging area such as digital assets. That is why, in April last year, the Revenue Commissioners updated their guidance on crypto-assets. They did not change their general guidance with regard to the taxation of crypto-assets. However, additional clarifications were provided to aid the general understanding of the mechanics …

The credit servicers directive provides for a common EU framework for the transfer and management of bank originated, non-performing loans, including mortgages, which are transferred or sold after 29 December 2023. It sets out an EU-wide regulatory arrangement for both the purchasers and servicers of such credit agreements, and in particular provides for a new EU authorisation framework for credit servicers to be overseen by national competent authorities. In the case of Ireland this will be the Central Bank of Ire…

This directive will not substantially change the existing domestic regulatory framework governing loan sales, other than in the case of loans falling within scope, that is, non-performing loans sold by a bank to a non-bank from 30 December 2023. The purchaser of such loans will not now have to be authorised by the Central Bank or by a comparable competent authority in another member state. However, the credit servicer of such loans will have to be authorised and will have to comply with all consumer protection requ…

First, it is a directive, so transposition is a requirement. We will transpose the directive by means of a ministerial order in the coming weeks and active work on that is ongoing. We already have a very well established body of law to protect the rights of consumers. We have the 2015 Act, amended by the 2018 Act. In many respects what the EU is doing here is catching up with what countries like Ireland have already done by ensuring that where loans are sold, the statutory protections and system of regulation conti…

I propose to take Questions Nos. 88, 106, 119 and 120 together. The national disability inclusion strategy transport working group, NDIS TWG, comprising members from a range of Departments, agencies and disabled persons' organisations, was tasked to review all Government-funded transport and mobility supports for those with a disability, including the disabled drivers and disabled passengers scheme, DDS. Officials from the Department of Children, Equality, Disability, Integration and Youth led the work of the group…

I thank the Deputies. As well as being a Minister in a Government, I am a practising TD and deal with individual cases all the time. That has helped me to reach the conclusion that the existing scheme is not the best way to address the needs of persons with a disability, whether they are drivers or passengers. It is a tax-based scheme. The gateway criterion entails eligibility for the primary medical certificate. We are all aware of the details of that. A new scheme is needed but it should be based on the needs of …

I thank the Deputies for their contributions. I believe they will acknowledge it is not a competence of the Department of Finance to define who should be eligible for transport supports and mobility supports arising from disability. We are continuing to administer the existing scheme and will do so until it is replaced. I have shown willingness to respond to events that have arisen and individual cases that have highlighted gaps in the existing scheme. Colleagues will be familiar with Leigh Gath and the change we m…

I thank all the Deputies. We should acknowledge that many are benefiting from the existing scheme. I had the figures to hand during Committee Stage of the Finance Bill. Between the VRT, the tax, and the fuel grant, the figure for this year was in the order of €70 million to €80 million. Therefore, many are benefiting from the scheme. It is working well for them. However, there are many people who do not meet the eligibility criteria of the scheme as it stands. Therefore, the focus of the Government is now on implem…

I thank Deputy Moynihan for his contribution. In amendment No. 2, he is seeking a report on the current position regarding USC, the number of taxpayers paying USC at each band and options to reduce the USC burden for middle-income earners in the years ahead. By way of background, as the House will be aware, the USC was designed and incorporated into the Irish taxation system in 2011 to replace two other charges, namely, the health levy and the income levy. The primary purpose of the USC was to widen the tax base an…

To correct one point, it is estimated that 148,100 individuals will benefit from the increase in the national minimum wage whereas I think I inadvertently gave the wrong figure. In response to some of the points that have been made, with regard to my party, in our campaign for the last election, from which we all draw a mandate to be in this House, we made proposals in regard to the income tax system, the entry point and changes to credits. We negotiated with our colleagues in government a programme for Government …

A number of amendments covering a range of income tax issues have been grouped together in this discussion. Regarding the potential for the introduction of a 43% income tax rate on all individuals with incomes in excess of €100,000, I am advised by Revenue that this proposal would yield approximately €495 million in the first year of introduction and €615 million in subsequent years. Approximately 185,000 taxpayer units would be impacted. As I have stated many times in this House, Ireland has one of the most progre…

I repeat the point that we have one of the most progressive systems of taxes and social transfers of any EU or OECD country. These systems contribute to the redistribution of income and the reduction of income inequality in Ireland. On indexation, it should be pointed out that the personal tax review included a detailed analysis of indexation of the personal tax system in chapter 6 of the report. The report set out the background information on indexation, the position in other jurisdictions and options for indexat…

Deputy Shortall seems determined for me to personalise the impact of the budget to Members of this House but I am not going to do that. There are many people in society, from all sections, who have good incomes, far beyond what Members in this House have and I do not think it serves public debate very well to try to do what Deputy Shortall is doing, but that is her choice.

I can justify and defend the budget.

Deputy Shortall wants to personalise the impact of the budget on individuals in this House and-----

-----I do not see what purpose that serves. It does not serve any useful purpose, except political point scoring, which is a matter for the Deputy.

Even with the changes we have made in this budget, people in Ireland enter the marginal rate of income tax of 48% when they earn €42,000. In international terms, that is a relatively low level of income at which people hit a marginal rate of tax of 48%. That is the reality and what Deputy Shortall is proposing, in effect, is to make the system even more progressive. I can tell her, as somebody who engages extensively with employers, with people who currently invest in Ireland and who are looking to invest in Irelan…