The Minister for Finance mentioned in his Budget speech that taxpayers had to be helped to get access to tax reliefs. At a press conference on 7 December, Revenue expanded on plans for this.

Though Revenue referred to the success of Tax Relief at Source for Medical Insurance and Mortgage Interest claims, it seems that what is envisaged going forward is not Tax Relief at Source, but a mechanism for triggering repayments of tax.

In outline, the plan is that in 2007 taxpayers can expect that:

• There will be an automatic granting of age-related credits without the need for the taxpayer to apply. This is predicated on Revenue having a verified date of birth on record.
• Financial Institutions will operate DIRT free accounts for those over 65 years or permanently incapacitated. The supporting documentation is very strong on the checks and balances for this, to eliminate any possibility of Bogus Over Sixtyfive Accounts akin to the infamous Bogus Non-Resident Accounts.
• A credit of €60 per annum will be given to members of trade unions, automatically granted, based on details of trade union membership.

Further down the road, in 2008, steps will be taken to arrive at automatic refunds of tax arising from claim entitlements based on:

• – Unreimbursed Hospital expenses
• – Unreimbursed Pharmacy costs
• – Tuition fees: amounts paid on approved courses in certain colleges.

These will undoubtedly pose more challenges, not least because in certain instances, relief will be at the marginal rate of tax.

The Revenue documentation (eBrief 50/2006 reproduced at Section 2.07) mentions the need for consultation with interested parties. This process will be of prime importance for members dealing with, or involved in, the Hospital, Pharmacy and Third Level College sectors.