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Minister commits to medical cards for all children on DCA payments The Minister for Health has committed to granting full medical cards to all children whose parents are getting the domicillary care allowance. The allowance is given to parents of children under 16 with a severe disability, who requires ongoing care and attention. Donegal Fianna Fail TD Pat ‘the Cope’ Gallagher raised the issue in the Dail this week. He says legislation is to come before the Dail before the end of this month to ensure that these families get this much-needed payment. He says it means these children should have these medical cards by June:

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VAT there to be reclaimed by farmers It can be surprising how much VAT a farmer forks out in purchases every year. Even more surprising, for some, is the news that there is a facility for them to claim the tax back, even if they are not registered for VAT. SHARE Items that qualify include farm buildings and equipment such as milking machines and meal bins, fencing that is written off over seven years, and drainage and reclamation of land. At rates of 23pc and 13.5pc, the VAT on these items can add up pretty quickly. However, if you can produce a VAT invoice for Revenue proving that you paid the VAT, you are entitled to claim it back. How to make a claim The reclaim is made on a VAT 58 claim form, which is available on the Revenue website or by telephoning 1890 306706. You need original VAT invoices and items such as delivery dockets, statements, receipts, quotations will not be sufficient. However, you have only a four-year window from the end of the taxable period to which the claim relates. The taxable periods are generally January/February, March/April, May/June, July/August, September/October, November/December each year. For example, the claim for a refund of VAT in respect of an invoice issued in January 2009 must be made not later than February 2013. What VAT can an unregistered farmer reclaim? Farmers who are not registered for VAT may reclaim VAT paid by them in respect of the following items, provided such building, structure, land or qualifying equipment is for use in a farming business carried on by the farmer for a period of not less than one year from the date of payment: • Construction, extension, alteration or reconstruction of a building or structure which is designed for use solely or mainly for the purposes of a farming business;

Expenditure of almost €83m to be provided for Farm Assist in 2017 The changes mean that 70% of farm income will now be assessed as means, down from 100%, which is equivalent to a 30% income disregard. In 2017, revised estimates for the Department of Social Protection provide for expenditure of almost €83m on the Farm Assist Scheme, the Minister for Social Protection, Leo Varadkar, has said. Responding to a parliamentary question from Fianna Fail’s Agriculture Spokesperson, Charlie McConalogue, Minister Varadkar said that the total reversal to cuts to the scheme is now underway. The programme helps more than 8,000 farm families across the country and supplements mostly small farms on poor land, mainly in the west, he said. “The commitment given in the Programme for a Partnership Government, as part of the Government’s commitment to rural Ireland, was to complete a review of the farm assist scheme, recognising the challenges facing farmers on low incomes. “The review was completed by my Department in advance of discussions for budget 2017. Budget 2017 fully reverses the previous cuts to the farm assist means test.” “An additional annual means disregard will be applied at €254 for each of the first two children and €381 for the third and subsequent children.” Minister Varadkar said that the introduction of additional income disregards for farmers with children further ensures that farm families with children will benefit. “I also announced the provision of 500 more places on rural social schemes, bringing the total number of places from 2,600 to 3,100. “At a time of falling farm incomes, it is essential we strengthen the safety net for farmers who are on the margin.” The Minister also confirmed that all existing Farm Assist recipients currently assessed with means will have their payments adjusted to take account of the changes in Budget 2017. This is to come into effect from March 8, the implementation date, with the relevant payments changing on March 15 as Farm Assist is paid weekly in arrears, he said. “Farm assist recipients will also benefit from other measures in the budget, including the €5 per week increase in the weekly rates of payment and the 85% Christmas bonus. “Farm assist recipients will also be eligible to avail of the 500 additional places on the Rural Social Scheme.”

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It is high time we stopped punishing prudent people Don't take my word for it. Here is what the officials in the Department of Finance wrote recently on the deposit interest retention tax (Dirt) rate in what they call a Tax Strategy Group Paper - a document setting out the options for the Budget: "The standard Dirt rate has increased significantly since 2008 (up from 20pc to 41pc) and is now 1pc higher than the higher rate of tax. Despite this, yields are falling, which may indicate we have reached a point of diminishing returns." Diminishing returns refers to a point reached when the level of profits or benefits gained is less than the amount of money or energy invested. We have reached that point with our stratospherically high Dirt rate - and remember that pay-related social insurance (PRSI) also applies on the returns on savings for many people. The tax was hiked during the austerity years to boost the depleted Exchequer finances and to try to force people to spend their savings. Some €2.3bn has been raised from Dirt since 2008, according to the Government. Dirt is nothing short of a tax on thrift. It savagely penalises the prudent - people putting money aside for children's education, for medical costs or for future nursing home care. The Dirt tax rate takes no account of people's income, with the same rate applying to those on low incomes as to millionaires. Banks have disgracefully reacted to the sly and persistent raising of Dirt tax over the past few years by lobbying the Government to slash the interest rates paid on tax-free state savings bonds and certs. Five times in four years the interest rates on state savings bonds and certs and the Prize Bond pay-out fund have been reduced. The closing of this potential option for savers has left the prudent at the mercy of banks that have repeatedly cut what they pay to depositors. Many demand deposit accounts are paying insultingly low rates of only 0.01pc. The high Dirt rate discriminates against older people, who are usually anxious about having some money set aside to meet unforeseen events. Our nearest neighbours in Britain recognise the importance of people being encouraged to save. Anyone earning under £17,000 (€19,562) is exempt from tax on interest. Basic rate taxpayers are exempt on the first €1,000 of interest. In this country you get pummelled for being prudent.

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Consumers have been warned not to let their contactless bank cards out of their sight in bars and restaurants over fears that they could be scammed.People should treat the card like cash and not let it out of their sight," he said. It comes as AIB has decided to wait until the end of the year before charging customers for paying with a contactless card. It was due to impose charges from this month. Half of consumers now use contactless cards. AIB was due to introduce charges for using a contactless payment card on August 26. Now it has decided to waive fees until the end of the year to encourage more customers to use the cards. Bank of Ireland charges customers 1c for using contactless cards, with Permanent TSB and KBC imposing no charge. Ulster Bank does not have contactless cards. Card company Visa, which processes payments, had no comment. A recent survey of consumers found 54pc of debit and credit card owners use contactless payment when paying for goods and services. The Amárach research, commissioned by Bank of Ireland, found the average contactless payment is €11.33. Despite this, 42pc of those surveyed would like to see the €30 limit on contactless payments increased. "In Ireland, the majority of restaurants and many pubs now use mobile terminals, which means that the cardholder always has their card in their sight, and with contactless transactions the cardholder can easily tap the card, never letting it out of their hand."

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BROADBAND IN DONEGAL “I think rural Ireland has been badly failed by the government over the last five years, through failure to properly address the need for state investment to ensure that a proper broadband service is provided to all areas. “It has been clear for many years now that certain parts of the country, especially rural regions were only going to receive broadband with government co-investment. Despite this, we have had numerous promises that have amounted to nothing. In Donegal, 52% of all premises, both private and commercial, will not have a proper broadband service until the NBP delivers it. There should be no more delays. It has been one step forward, two steps back with this government for the last two or three years. The reality is there has not being the political will to fix it.” Charlie McConalogue

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Higher earners face bigger tax bill under plan to cut PAYE credit Marginal rate could reach 68.5% for people on €70,000-€80,000, says Irish Tax Institute Higher earners could pay more tax on a significant portion of their income if the Government goes ahead with a plan to stop them receiving a PAYE tax credit. The move has been promised by the Government as one of a range of measures to claw back gains from the better-off from promised cuts in the USC. However, it could mean hundreds of thousands of workers paying tax of close to 70 per cent on a slice of their income, according to an analysis by the Irish Tax Institute. The PAYE tax credit is worth €1,650 and all individuals earning income taxable under the PAYE system are entitled to it. The Government has indicated that it will be removed from higher earners but has not given details. However, it warns that this could lead to a big increase in the marginal tax rate – the amount of every extra euro earned that goes in tax – for a portion of income. If the credit is tapered out for income earned between €70,000 and €80,000, then the marginal rate of tax paid on income in this €10,000 band will be 68.5 per cent, it says. This would be far in excess of the 52 per cent marginal rate now applying to higher earning PAYE taxpayers.

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We would like to be able to say the dust has now settled on the Brexit vote and everything has returned to normal. But it hasn’t and it probably won’t for quite some time – if, indeed, it ever does. But with the passage of time, clearer pictures always emerge, and now might be as good a time as any to leave aside all the political and economic shenanigans and the big-picture stuff and see what it might mean for Irish consumers. As with most things, there are reasons to be cheerful and reasons to be glum. 1 This time last year £1 was worth about €1.45. This time last week £1 was worth about €1.17. Is it any wonder that UK-based online outlets such as Asos, which prices all it sells in sterling, struggled to cope with demand in the wake of Brexit as canny consumers from the euro zone sought out bargain buys. Back to This Again at Petitgo and Belleek

AM Quinn Accountants

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Hopefully Brexit will result in this

Britain votes to leave EU: What does it mean for Ireland? Politically, socially and economically the decision of the UK to leave the European Union will have huge ramifications for Ireland, writes RTÉ Business Editor David Murphy. But the most immediate impact will be felt by Irish businesses and their employees. Sterling is falling rapidly against the euro and fell 8% in the hours after the result became clear. It is safe to assume sterling will remain very weak for a considerable period. That will make Irish exports to the UK more expensive and our imports from Britain cheaper. This will hit some industries more than others. However, farming and agri-food exports are particularly exposed. The UK is absolutely vital for our agricultural produce because 52% of Irish beef goes to the UK, 60% of cheese exports and 84% of poultry. Border towns will be hit by the fall in sterling because shopping will be much cheaper in the north of Ireland.

Sterling drops as polls and punters signal victory for 'leave' campaign, Irish CEOs fear the worst from exit - PwC survey Donal O'Donovan Twitter PwC's managing partner, Feargal O'Rourke. Sterling dropped to a three-week low and the cost of protection against swings in the currency hit the highest level since the financial crash in 2008 as polls point towards a victory for the leave side in the vote on Britain's EU membership.