Ireland's artists called on the government today to protect tax breaks that have lured struggling writers and musicians to its shores but which critics say unfairly helps high-earners like rock group U2 get richer.
The scheme, which has been in place since 1969 and is unique to Ireland, is among a raft of tax incentives being reviewed by the finance ministry ahead of December's budget.
Critics of the scheme, brought in to promote the creative arts, are angry that successful, wealthy artists such as singer Enya and novelist Roddy Doyle, are exempted and point out half the income involved is earned by 2% of the artists.
However, Mary Cloake, director of the Irish Arts Council, which is calling for the scheme's retention, said struggling artists were the biggest beneficiaries, with the average earnings of the bottom 50% of those who availed in 2001 being €5,200.
She said that: 'any suggestion this is a scheme for the rich is misplaced'.
She warned that the abolition of the tax shelter would result in a "brain drain" of artists out of the country and "cost Ireland a generation of new and emerging artists".
Among those who have moved to Ireland to avail of the shelter are Scottish novelist Irvine Welsh, and, in the early days of the scheme, thriller writer Frederick Forsyth.
Top beneficiaries of the exemption, which applies exclusively to income derived from creative and original work, include Van Morrison, Westlife, Bill Whelan of Riverdance, and Neil Jordan.
In 2001 - the latest year for which figures are available - 1,300 artists claimed relief on earnings totaling around €106m, at a cost to the Irish exchequer of €37m.