Deputy John Deasy asked the Minister for Finance if his attention has been drawn to the fact that the 10 percent tax on UK dividends paid to Irish residents, which is deducted at source in the UK, is then subject to tax here at the marginal rate on the net 90% received and that this means tax on UK dividends is now the highest rate of tax on income; his views that this is fair on pensioners who were relying on UK dividends to top up their income; and if he will make a statement on the matter.
REPLY (October 21, 2014)
Minister Michael Noonan:
I am informed by the Revenue Commissioners that the 10% tax referred to by the Deputy is part of the tax paid by the company and not a tax on the dividends themselves. Accordingly, dividends paid by a UK company to an Irish resident taxpayer are not subject to any taxation in the United Kingdom.
Where a pensioner has UK dividend income, it is taxable in the normal way in this country. However, pensioners are entitled to an additional tax credit and/or greater exemption ceilings, which are not available to other taxpayers.
Any individual or a couple in a marriage or civil partnership, aged 65 or over, whose income from all sources (including any UK dividend income) is less than or equal to the exemption limit will not have to pay income tax for that year. The exemption limit applies where the total income is less than €18,000 for a single individual, widowed person or surviving civil partner and €36,000 for a married couple or civil partnership couple.
These exemption limits are increased by €575 for each of the first two children and by €830 for each subsequent child.
Any individual or a couple in a marriage or civil partnership aged 65 or over whose income from all sources is slightly over the exemption limit may qualify for marginal relief. Marginal Relief will only be granted if it is more beneficial to the claimant than their tax credits.
In addition, the over 70s are only liable to a maximum rate of USC of 4% on their income where it does not exceed €60,000. This rate is reducing to 3.5% from next year as part of the Budget changes to the income tax system.
Deputy John Deasy asked the Minister for Health if the wig allowance administered by the Health Service Executive is a different amount in each HSE region; if this is the case, the reason for the varying rates and if he will provide the rates in each region.
REPLY (October 14, 2014)
Minister of State Kathleen Lynch:
The information requested by the Deputy is not routinely available in the Department, therefore I have asked the Health Service Executive to reply directly to the Deputy.
Deputy John Deasy asked the Minister for the Environment, Community and Local Government the procedure for persons who through a force majeure situation are unable to renew their off-road declaration within the requested renewal date; and if he will make a statement on the matter.
REPLY (Oct 7, 2014)
Minister Alan Kelly:
The Non-Use of Motor Vehicles Act 2013 came into effect on 1 July 2013. The primary purpose of the Act is to replace the system whereby a vehicle was declared off the road retrospectively with a system under which the vehicle must be declared off the road in advance. The provision for retrospective declarations had become a means of evasion of motor tax.
The new arrangements have been fully in force since 1 October 2013. These only allow for a future declaration which must be made in the month before tax falls due, i.e. the declaration must be made prospectively. The declaration of non-use can be made at any time during that month, either via the local motor tax office or online, and is free of charge. Exemptions in particular cases are not provided for.
Deputy John Deasy asked the Minister for Justice and Equality the definition of a Stateless person in Irish law.
REPLY (Oct 7, 2014)
Minister Frances Fitzgerald:
There is no statutory definition of stateless person under Irish law. However, the Irish Nationality and Citizenship Act 1956 (as amended), refers to a stateless person as "within the meaning of the United Nations Convention relating to the Status of Stateless Persons of the 28th day of September 1954". Article 1 of this Convention defines a stateless person as someone “who is not considered as a national by any State under the operation of its law”.