asked the Minister for Finance if rates on business premises can be offset against profits of the business; and if he will allow rates on private dwellings to be allowable against income tax and, if not, why.
Ceisteanna—Questions. Oral Answers. - Private Dwelling Rates.
32.
Rates paid on premises used for business or professional purposes are allowed as an expense against profits to the extent that the premises are used for business or professional purposes, as also are rates on let private property in computing the profit from lettings.
Owner-occupied private dwellings are not chargeable to income tax, so the question of allowing a deduction for rates does not arise.
In view of the fact that one of the things for which the Minister's budget was most conspicuous was that there was no provision whatever for ratepayers in it, would he not consider it a just move if he were to allow the amount of rates paid on a private dwelling to be offset against the income tax paid by the householder?
First, I should like to point out to the Deputy that considerable provision was made for ratepayers from the Exchequer not in the budget but before it, particularly in relation to the health charges. Secondly, I would point out to him that if rates were to be allowed as a charge against income tax in the way he suggests, there are many other things which should also be allowed and would be equally valid as a charge.
Would the Minister not agree that one of the greatest burdens on any family's budget are the ever-increasing rates, despite the provision which has been made over the past year? Would he not agree that there is grave hardship involved in many cases and that many families are deprived of necessities because of the ever-increasing burden of rates on private houses? Would he not give consideration to allowing the total amount of rates paid each year to be offset against the income of the family as a start to amending totally the rates legislation?
I will agree that the rates are increasing each year and that they do constitute a heavy burden on certain sections of the population, and certainly I would feel that those sections of the population should be the first beneficiaries of any action that should be taken in remedying this position. There is a grave danger that to allow rates to be charged against income tax would not benefit such people at all because they are people who are probably not liable to income tax and they would get no benefit from it.
I want to ask the Minister——
I am calling Question No. 33. Would the Deputy please resume his seat and allow questions to continue?