This gives a maximum tax saving of approximately 11,000. In the D il debates the Minister justified this restriction on the basis that there had been unintended use of the relief in relation to very significant sums of money. He and the opposition spokesman on finance, Mr Noonan appeared to share some common source of information regarding this use in that Mr Noonan suggested that those involved were singers, and the Minister appeared to agree that that was the case. This is especially so if the relief is predicated on their not being in the State in order to enjoy the benefits provided by it. If the restriction was indeed designed specifically with the entertainment industry in view, it would be as well to remember that the entertainment industry is global in its operations.
Successful entertainers are under no compulsion to reside in Ireland.
They have the ability, by the judicious use of an airline ticket, to place their own limits on the contribution they wish to make to Ireland. Against that background, the restriction of reliefs, while leaving potential tax liability unrestricted, is probably self defeating. The restriction was introduced in respect of income earned or paid on or after 29 February. This was especially unjust. Consider an employee who had, by 29 February, spent six months seconded abroad on a civil engineering project in Africa.