The tax exemption for writers and artists is coming under the spotlight ahead of the budget.
Department of Finance officials have confirmed a 'desk-based' review is being carried out.
It cost the taxpayer €21m in 2008, and €6m in 2013.
The scheme was introduced by then-Taoiseach Charles Haughey in 1969.
It means the first €50,000 per year of profits or gains earned by writers, composers, visual artists and sculptors from the sale of their work is exempt from income tax in certain circumstances.
From 2011 to 2014, the maximum amount which was exempt was €40,000.
Revenue say grants, awards and prizes given to artists "are generally taxable as income".
It adds that where the award relates to a work that comes from within the scheme, the income from the work and from any award is also tax exempt.
