In Committee on Finance. - Resolution No. 2—Customs. – Dáil Éireann (7th Dáil) – Thursday, 10 Nov 1932

Mr. Lemass

I move:

(1) That sub-section (8) of Section 22 of the Finance Act, 1932 (No. 20 of 1932), be amended by inserting after the word "drinks" in paragraph (f) of that sub-section the words and brackets "(other than preparations of malt extract and cod liver oil)".

(2) That the amendment of Section 22 of the Finance Act, 1932, mentioned in the foregoing paragraph of this Resolution shall have effect in respect of all articles imported into Saorstát Eireann on or after the 10th day of November, 1932.

(3) It is hereby declared that it is expedient in the public interest that this Resolution shall have statutory effect under the provisions of the Provisional Collection of Taxes Act, 1927 (No. 7 of 1927).

This is an amendment of the package duty. When the package duty was originally passed by the Dáil it applied to malt extract and cod liver oil. As a result certain firms established places for the bottling and packing of cod liver oil and malt extract here. Subsequently a question was put to the Revenue Commissioners for decision, as to whether malt extract and cod liver oil should be exempted from duty, on the grounds that they were foods intended primarily for consumption by invalids and infants. The Revenue Commissioners decided that these articles should be exempted from duty on that head. That was not our intention, and consequently it is proposed now to impose the duties specifically.

Mr. Dockrell

I would like to ask the Minister what is the reference in the Finance Act. Is it 10 (b)?

Mr. Lemass

The Finance Act passed in the previous session?

Mr. Dockrell

What is the reference in the Finance Act?

An Ceann Comhairle

No. 20.

Mr. Dillon

I think it is perfectly absurd to move Financial Resolutions in this way, and for the House to agree without having them before them.

An Ceann Comhairle

Does the Deputy desire to challenge a division?

Mr. Dillon

I do not.

Mr. Anthony

In my view it is a very irregular way of conducting the business of the House.

Mr. Lemass

It is the normal procedure.

Mr. Anthony

If it is the normal procedure it does not follow that it is right. Here we have the Minister admitting that malt extract and cod liver oil are primarily used as food for infants and invalids, and he proposes to tax these commodities, or is he remitting the tax?

Mr. Lemass

No.

Mr. Anthony

I want information.

Mr. Lemass

I explained that when the tax was originally imposed it was deemed to apply to these articles, with the result that a number of firms arranged to have particular brands of malt extract and cod liver oil prepared in this country and factories established for that purpose. Subsequent to that, however, the question was raised for decision whether these particular commodities should be exempted from duty, on the grounds that they were food intended primarily for consumption by infants and invalids, and as a ground for exemption under the terms of the Act. The Revenue Commissioners, when the question was put to them, directly decided that these articles were food of that description and should be exempted. Consequently the tax was not imposed and the factories established for the packing of the articles here closed down. It is now intended to reimpose the tax and to secure that these packing operations will be done here again.

Dáil Éireann debate -
Thursday, 10 Nov 1932