Written Answers Nos. 142 - 158
  Housing Statistics
  Public Services Provision
  Tax Code
  Budget 2013
  Departmental Staff Rehiring
  Consultancy Contracts Issues
  Mortgage Interest Relief Eligibility
  Tax Code
  FÁS Training Programmes
  FÁS Training Programmes
  School Transport Provision
  Student Grant Scheme Applications
  State Examinations Issues
  Schools Recognition
  Special Educational Needs Staffing

Tuesday, 11 December 2012

Dáil Éireann Debate
Vol. 786 No. 1

Written Answers Nos. 142 - 158

Housing Statistics

 142. Deputy Pearse Doherty   asked the Minister for Finance   if he will provide in tabular form the estimated number of residential properties in the State in market value bands of €50,000, that is between €0 to €50,000, between €50,000 to €100,000 and so on; and if he will provide the source or basis for these estimates. [55394/12]

Minister for Finance (Deputy Michael Noonan):   No database exists as yet containing the valuations of the housing stock in the State. The estimated percentages of residential properties per valuation band based on (a) the property price register and (b) data used in the Report of the Inter-Departmental Group on the Design of a Local Property Tax, chaired by Dr Don Thornhill (the “Thornhill report”) are as follows:

Public Services Provision

 143. Deputy Mary Lou McDonald   asked the Minister for Finance   further to Parliamentary Question No. 237 of 4 December 2012, if he will provide a list of all new services across his Department that have been tested for external service delivery since March 2011. [55431/12]

Minister for Finance (Deputy Michael Noonan):   As the Deputy will be aware my Department is policy focused and does not have a large number of transactional staff and as such my Department does not immediately lend itself to external service delivery. My Department has not introduced any new service since March 2011. Notwithstanding the nature of activity in my Department they are working closely with their colleagues in the Department of Public Expenditure and Reform in relation to the Banking and Accounting , Human Resources and Payroll Shared Services Projects which may offer an opportunity for some external service delivery.

Tax Code

 144. Deputy Michael Moynihan   asked the Minister for Finance   if a person had reached a tax settlement with the Revenue Commissioners under the 1994 tax amnesty, would this have included PRSI as well as PAYE; and if so, would stamps be owed as a result of any such settlement including PRSI. [55459/12]

Minister for Finance (Deputy Michael Noonan):   The Tax Amnesty Scheme, provided for in the Waiver of Certain Tax, Interest and Penalties Act 1993, operated on a self assessment basis and comprised two distinct parts, an incentive amnesty and a general amnesty. The incentive amnesty related to outstanding tax, levy and health contribution liabilities in respect of income and/or capital gains of individuals for the period up to and including 5th April 1991. The incentive amnesty did not cover PAYE or PRSI liabilities. Any PRSI liabilities had to be paid directly by the individuals concerned to the then Department of Social Welfare.

The general amnesty applied to all outstanding taxes in respect of individuals and companies for the period up to and including 5th April 1991. PRSI liabilities were covered and were payable with the other tax arrears to the Revenue Commissioners. I am advised by the Revenue Commissioners that the person making the disclosure under the general amnesty should be aware of whether or not they had included PRSI in the disclosure and payment made

Budget 2013

 145. Deputy Mary Mitchell O'Connor   asked the Minister for Finance   if a poverty impact assessment has been completed on Budget 2013; if a poverty proof report will be published; and if he will make a statement on the matter. [55558/12]

 146. Deputy Mary Mitchell O'Connor   asked the Minister for Finance   if an equality impact assessment has been completed on Budget 2013; if a gender impact assessment report will be published; and if he will make a statement on the matter. [55559/12]

 147. Deputy Mary Mitchell O'Connor   asked the Minister for Finance   if a regulatory impact assessment has been completed on Budget 2013; if a regulatory impact assessment report will be published; and if he will make a statement on the matter. [55560/12]

Minister for Finance (Deputy Michael Noonan):   I propose to take Questions Nos. 145 to 147, inclusive, together.

As I have stated recently in response to a number of related parliamentary questions, when focusing on the primary objectives of reducing the deficit and returning sustainability to the public finances, it has been of vital importance to the Government to spread the burden of the adjustments made in as fair and equitable a manner as possible, while also seeking to minimise their negative impact on economic growth.

I would like to make the Deputy aware that the Programme for Government does contain a commitment to require all public bodies to take due note of equality and human rights in carrying out their functions. Furthermore, the Cabinet handbook requires a statement on the likely effects of the decision sought on equality and persons experiencing or at risk of poverty or social exclusion to be included in Memoranda to Government. Consequently, Government does consider each of these important issues at an individual policy or programme level. I would also remind the Deputy that the State and its bodies take the provisions of equality legislation into account in the development and delivery of its policies and services.

In addition, a distributional analysis of proposed budget measures is performed each year based on various income levels for the different categories of income earners, for example single individuals, married one-earner couples with no children and married one-earner couples with children. A distributional analysis which models the impacts on disposable income by income decile using SWITCH, the ESRI Tax-Benefit model, is also undertaken in evaluating various budgetary options. Illustrative examples are contained in the Budget 2013 document.

With regard to Regulatory Impact Analysis, although it can potentially benefit all policy areas/regulations, it is not compulsory to apply RIA to the Finance Bill. Generally speaking, the revenue measures I introduced as part of Budget 2013 will be given legislative effect through the forth coming Finance Bill. As detailed in the guidelines the publication of a RIA may not be appropriate in the case of tax law/regulations or the imposition of charges because of their sensitivity and the need to guard against possible evasion or avoidance.

Nonetheless, the Revenue Commissioners have an ongoing focus on minimising the administrative burden on business and have recently reported to Government that they have reduced the burden by 25%, saving business over €85 million a year. Furthermore the latest World Bank report shows that Ireland continues to be the easiest country in the EU in which to pay business taxes.

The primary objective of Budget 2013 was to reduce further the deficit in our public finances in line with our commitments, since it is not sustainable to continue running such large deficits. The measures introduced within the Budget are deemed necessary in order to reduce further the deficit in the public finances and so as to ensure continued adherence to fiscal targets set as part of the EU/IMF Programme.

The Government has sought to implement the measures required to reduce the deficit in a manner that was as fair and equitable as possible and in a manner that would protect the emerging economic recovery. While this is a difficult task and one which has required that difficult decisions be made by Government, I am satisfied that we are implementing the necessary adjustments in such a manner.

Departmental Staff Rehiring

 148. Deputy Gerry Adams   asked the Minister for Finance   if he has made an external appointment of an economist to head up his Departments Budget and Economic Policy Division. [55565/12]

Minister for Finance (Deputy Michael Noonan):   To date, no individual has been appointed to the Role of Chief Economist in my Department.

Consultancy Contracts Issues

 149. Deputy Joanna Tuffy   asked the Minister for Finance   if he will provide the following information in relation to IT consultants and IT external resources contracted to undertake IT related work for the Revenue Commissioners, the total number and names of companies working on such projects in the years 2008, 2009, 2010 and 2011; the number of persons supplied by these companies to work on such projects in the years 2008, 2009, 2010 and 2011; the amount paid to each company for these services in the years 2008, 2009, 2010 and 2011; the invoicing contract payment mechanism used, if it is by hour, by project, by person or by a combination of these mechanisms; the verification mechanisms in place to ensure that the invoicing/contract payment mechanisms reflect work actually carried out; and if he will make a statement on the matter. [55599/12]

Minister for Finance (Deputy Michael Noonan):   I am advised by the Revenue Commissioners that the total number and names of companies working on IT related work in the years 2008, 2009, 2010 and 2011 along with details of the amounts paid to the companies, and the payment basis used, are set out in the following tables. Where the work was undertaken on a “per person per day” basis, details of the number of persons engaged are not available in the time permitted. Information regarding the number of persons engaged is not available where companies were engaged to deliver a specific body of work or project. It should also be noted that the amount paid may not relate to work done solely in that particular year e.g. some work delivered in 2009 may not have been paid until 2010.

  The work undertaken by external resources is supervised and authorised by Revenue managers. Payments in respect of resources working on per diem rates are based on the work-days reported by the relevant Revenue managers. Payments in respect of project work are based on invoices certified by the relevant Revenue managers. External resources working in Revenue are obliged to adhere to the Revenue Delivery Method (RDM) which is a comprehensive guide to the activities required to deliver high-value ICT solutions and services for Revenue. It provides Revenue ICT teams with proven processes, deliverables and techniques that enable them to define what to do and how to do it.

  Expenditure on external IT resources is required by Revenue to engage computer experts to develop, support and maintain critical IT projects, such as Integrated Taxpayer Processing and Revenue On-Line Services. The software developments that result from such expenditure are tangible assets and are recognised as such in Revenue's Annual Appropriation Account. Contracts are awarded following appropriate Request for Tender procedures.

Mortgage Interest Relief Eligibility

 150. Deputy Michelle Mulherin   asked the Minister for Finance   if he will address the practical problem posed for first time buyers who wish to avail of enhanced mortgage interest relief in order to make their mortgage repayments affordable by drawing down their mortgage before the deadline of the 31 December next but find that their lending institution owing to its Christmas holiday arrangements will not issue loan cheques after mid-month and the first time buyer is unable to draw down by that date and is consequently precluded from qualifying for the relief and if he will make arrangements to accommodate first time buyers who are discommoded by this; and if he will make a statement on the matter. [55657/12]

Minister for Finance (Deputy Michael Noonan):   The position is, as I have stated in my Budget 2012 speech on 6 December 2011, and on many occasions in this House since, that mortgage interest relief for principal private residences will no longer be available to house purchasers who purchase after the end of 2012 and will be fully abolished from 2018. This means that a loan will have to be drawn down on or before 31 December 2012 in order to qualify for this relief. I have no plans to review this decision and I believe that more than adequate notice of this decision has been provided. As with all time-limited reliefs, there will always be people who just miss out, and that is why I have been as flexible as possible with the legislation within the current budgetary constraints. However, I do not intend to extend the parameters of the measure any further.

As you will appreciate, I receive numerous requests for the introduction of new tax reliefs and the extension of existing ones. You will also appreciate that I must be mindful of the public finances and the many demands on the Exchequer given the current significant budgetary constraints. Tax reliefs, no matter how worthwhile in themselves, reduce the tax base and make general reform of the tax system that much more difficult.

Tax Code

 151. Deputy Eoghan Murphy   asked the Minister for Finance   if he has considered the merits or demerits of a tax initiative (details supplied). [55682/12]

Minister for Finance (Deputy Michael Noonan):   The Deputy’s question, essentially, is whether everyone might be required to submit a tax return. The position is that in general, individuals whose income is taxed under the PAYE system are not required to submit a tax return annually because by and large it is not necessary. As the Deputy will be aware, the PAYE system successfully operates to deduct the correct amount of tax in a seamless way from the vast bulk of PAYE employees and pensioners, and their taxable income is reported to Revenue by the employer/pension provider after the end of the tax year. In addition, I am advised that the current practice of the Revenue Commissioners is to issue annual returns to specific groups of PAYE taxpayers whom they regard as potentially higher risk cases. To my mind, this is an efficient and appropriate approach to this matter. The alternative would require up to 2 million people to prepare and submit tax returns for no obvious benefit, and I would be concerned about the administrative and cost burden on both taxpayers and Revenue if the law was changed to make it mandatory for all PAYE employees to file an annual tax return.

Regarding State pensioners, I am advised by the Revenue Commissioners that the majority of taxpayers do report details of their State pension entitlements to Revenue, even though they are not obliged to file an annual tax return but, in any event, Revenue now receives information on pensions paid by the Department of Social Protection (DSP). This data exchange allows for the automatic deduction of tax by employers and pension providers on these pensions in appropriate cases.

Finally, mandatory tax returns would be unlikely to remove the need for means testing, given that means and income are not necessarily the same. However, the Revenue Commissioners further advise that they are currently working with one Government Department and one public sector agency, both of whom conduct means-testing for State benefits to develop an interface that will allow those organisations get a full picture of all income returned to Revenue by the person concerned.

FÁS Training Programmes

 152. Deputy Micheál Martin   asked the Minister for Education and Skills   if he will arrange for FÁS to offer language courses to unemployed persons in Tallaght, Dublin 24; if he appreciates the importance of such courses; and if he will make a statement on the matter. [55594/12]

Minister of State at the Department of Education and Skills (Deputy Ciarán Cannon):   I am informed by FÁS that their Training Services in Tallaght focus on delivering vocational training and do not deliver programmes which solely focus on language skills.

I understand that students at third level currently have access to a wide range of foreign language courses that can be taken as core subjects or in combination with a range of other disciplines. Almost 150 places were made available on language courses under the Springboard 2012 programme in this regard. Information on all language courses is available on the Qualifax website: www.qualifax.ie.

Furthermore, under the Back to Education Initiative (BTEI), County Dublin VEC is providing 2 "English for speakers of other languages" (ESOL) courses at FETAC level 3 and 1 ESOL course at FETAC level 4 which are based in the Adult Education Service, Tallaght. They are also providing 2 ESOL courses at FETAC level 4 and 1 ISOL course at FETAC level 5 in Killinarden Enterprise Park, in partnership with Dodder Valley Partnership.

In addition unemployed people may also access Language Training programmes with assistance from the Training and Education Support Grant (TESG) which is administered by the Department of Social Protection.

FÁS Training Programmes

 153. Deputy Martin Heydon   asked the Minister for Education and Skills   has his attention been drawn to a delay in the organisation of FÁS training courses for apprentices usually run in January (details supplied), when a decision will be made in relation to whether these courses will go ahead; and if he will make a statement on the matter. [55680/12]

Minister of State at the Department of Education and Skills (Deputy Ciarán Cannon):   This is an operation matter for FÁS. I am informed that the company in question has four apprentices at present. The position as regards their training is as follows:

  Two apprentices will be scheduled to attend Metal Fabrication training in Cork Training Centre starting 14th January, 2013.

  As one apprentice was registered on 30th November, 2012, they will not be due to be called to a Phase 2 course until March 2013.

  Finally, one apprentice cannot progress their apprenticeship further at this time as they have to repeat Phase 2 examinations.

School Transport Provision

 154. Deputy Martin Ferris   asked the Minister for Education and Skills   further to Parliamentary Question No. 283 of 6 November 2012, if a person who is in receipt of separate remote area grants for two children attending two different schools who has had one payment stopped is in fact entitled to claim both payments [55065/12]

Minister of State at the Department of Education and Skills (Deputy Ciarán Cannon):   Under the terms of my Department's School Transport Scheme the maximum daily allowance payable under the Remote Area Grant is €5.10 per day. The family, in question, are in receipt of this daily maximum.

Student Grant Scheme Applications

 155. Deputy Nicky McFadden   asked the Minister for Education and Skills   if the allocation for the student assistance fund in 2012-2013 will be adequate to support the needs of students; if there are figures available to show the number of students that will require the support of the student assistance fund in the current academic year; and if he will make a statement on the matter. [55067/12]

Minister of State at the Department of Education and Skills (Deputy Ciarán Cannon):   The objective of the Student Assistance Fund is to assist students, in a sensitive and compassionate manner, who might otherwise, due to their financial circumstances, be unable to continue their third level studies. The Fund is managed by the Higher Education Authority (HEA) on behalf of my Department and is administered by the individual third level institutions.

My Department has recently received an up to date report on the demand for the scheme from the HEA and this report is currently being considered.

State Examinations Issues

 156. Deputy Finian McGrath   asked the Minister for Education and Skills   his views on the issues raised in correspondence (details supplied) regarding localisation of school standards. [55075/12]

Minister for Education and Skills (Deputy Ruairí Quinn):   I published the Framework for Junior Cycle on 4th October. One of its features is that the State Junior Certificate examination will be replaced, in a phased manner over the next eight years, by a new school-based approach to assessment in line with best practice internationally. The Framework includes a number of measures to support and quality assure standards for the school based assessment across the three years of junior cycle. The Junior Certificate is no longer a high stakes examination, unlike the GCSE in England and Wales, as the vast majority of Junior Certificate students progress on to senior cycle and present for the Leaving Certificate examination at the end of senior cycle.

The State Examinations Commission will provide final assessment papers and marking schemes for subjects until the new school-based system of assessment is established. For English, Irish and mathematics they will continue in the interim to also mark the examination papers. The NCCA is developing an Assessment and Moderation Toolkit that teachers, students and parents can use to support the new emphasis on school-based assessment. A comprehensive professional development service will be provided from 2013/2014 for teachers of each subject as the new specifications for the Framework are phased in from 2014-2017. The CPD will cover new approaches to teaching and learning but particular attention will be given to assessment modes which include both assessment for learning and assessment of learning.

Schools Recognition

 157. Deputy Joe Carey   asked the Minister for Education and Skills   if he will report on the progress made to date on the move towards permanent recognition of a school (details supplied) in County Clare; and if he will make a statement on the matter. [55087/12]

Minister for Education and Skills (Deputy Ruairí Quinn):   In the case of the school, referred to by the Deputy, provisional recognition was initially awarded to the school in 2008 and has been extended year on year since. A process is in place under which the school's application for permanent recognition is being actively considered. This process is based on undertakings committed to by the school in 2007. The undertakings reflect the standard criteria applicable to the recognition of all primary schools and they require a satisfactory level of compliance from the school in respect of each criterion. Officials from my Department met with the school concerned in September 2012 and have since confirmed in writing that the school's provisional recognition has been extended for three years to 31 August 2015. This extension will allow the school the time necessary to progress the implementation of the changes in practice required to comply with the undertakings recommitted to by the school. This extension of the school's provisional recognition will not impede the school being granted permanent recognition within that period if the criteria for recognition are satisfactorily met.

Special Educational Needs Staffing

 158. Deputy Pearse Doherty   asked the Minister for Education and Skills   if he will provide details of funding from his Department for a centre (details supplied) in County Dublin in 2009, 2010, 2011 and to date in 2012. [55090/12]

Minister of State at the Department of Education and Skills (Deputy Ciarán Cannon):   The Further Education Section of my Department provides an annual grant to County Dublin Vocational Education Committee (VEC) towards the non pay costs of the Centre referred to by the Deputy. In addition, the Social Inclusion Unit of my Department provides part-time teaching hours to the Centre through the Special Education Part Time Hours Scheme. Details of the funding provided in the years 2009 to 2012 is included in the table.

Carline Centre of Learning - funding 2009 to 2012