Minister for Finance Michael Noonan has been asked to consider allowing 100 per cent tax relief for donors who purchase artworks, which are then donated the State.
The proposal from the trust that runs Russborough House in Co Wicklow, the Alfred Beit Foundation (ABF), has been brought to the Department of Finance by officials from the Department of Arts, Heritage and the Gaeltacht.
A planned auction at Christie’s in London of Beit collection paintings, including two works by Rubens, was postponed in June so a proposal from private Irish donors for the possible purchase of artworks could be explored.
A spokeswoman for Minister for Arts Heather Humphreys said the financial position at Russborough remained “extremely challenging” and stressed the Department of Arts did not have the estimated €15 million required to buy the paintings.
She confirmed on Monday that officials were raising the tax relief proposal with the Department of Finance.
Under a scheme to encourage the donation of heritage items to Irish cultural institutions, 80 per cent of the market value of the items can be offset currently against the tax liability of the owner.
There is a ceiling of €6 million in respect of any one year.
Ms Humphrey’s spokeswoman said a process to secure tax relief for the purchase of one of the paintings that was due to be sold is underway.
The aim is to allow the painting to be kept in Ireland and donated to the National Gallery.
“The Minister was informed by the trustees that Russborough is continuing to look at philanthropic support in a bid to secure more buyers for the paintings, which have been withdrawn from auction.”
The spokeswoman said the foundation was an independent trust and the Minister could not instruct it how to do its business.
“However, she intervened in the matter to ensure all possible options are explored. The Minister is trying to work with the ABF to help secure the long term future of Russborough House.”
In June, Ms Humphreys requested the trust cancel the controversial sale. While the request was initially refused, the trust subsequently agreed to postpone the sale.
The apparent emergence of “white knights” willing to buy paintings was welcomed by the Government.
Ms Humphreys’ spokeswoman said that after their most recent meeting with the Minister, the trustees agreed to her request to meet with an inter-departmental working group she has established.
The group involves senior officials from the Department of Arts, the Office of Public Works and the Department of Tourism, to consider how best to support the Foundation in operating Russborough House.
That meeting is “currently being scheduled”, the spokeswoman said.
