Dáil Éireann debate -
Wednesday, 8 Nov 1939

Vol. 77 No. 7

Financial Resolutions. - Financial Resolution No. 7—Customs and Excise.

Mr. O Ceallaigh

I move:—

(1) That the Finance Act, 1920, shall, in respect of articles imported on or after the 9th day of November, 1939, be amended as follows and shall have effect accordingly, that is to say:—

(a) the Schedule to this Resolution shall be substituted in the said Finance Act, 1920, for Part I of the First Schedule to that Act;

(b) the references in sub-section (1) of Section 3 of the said Finance Act, 1920, to Part I of the First Schedule to that Act shall be construed and have effect as references to the Schedule to this Resolution.

(2) That the duty of excise imposed by sub-section (2) of Section 3 of the Finance Act, 1920, shall, as on and from the 9th day of November, 1939, be charged, levied, and paid at the rate of four pounds, two shillings and sixpence the gallon (computed at proof) in lieu of the rate mentioned in the said sub-section (2).

(3) That nothing in this Resolution shall operate to relieve from or to prejudice or affect the additional customs duties or the additional excise duty in respect of immature spirits imposed by Section 9 of the Finance Act, 1926 (No. 35 of 1926).

(4) 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).

SCHEDULE.

SPIRITS (RATES OF ORDINARY CUSTOMS DUTY).

Description of Spirits	PREFERENTIAL RATES	FULL RATES
In Cask	In Bottle	In Cask	In Bottle
	£	s.	d.	£	s.	d.	£	s.	d.	£	s.	d.
For every gallon computed at proof of—
Brandy or rum	4	2	10	4	3	10	4	5	4	4	6	4
Imitation rum or geneva	4	2	11	4	3	11	4	5	5	4	6	5
Unsweetened spirits other than those already enumerated	4	2	11	4	2	11	4	5	5	4	5	5
For every gallon of perfumed spirits	6	12	0	6	13	0	6	16	0	6	17	0
For every gallon of liqueurs, cordials, mixtures and other preparations in bottle entered in such manner as to indicate that the strength is not to be tested	—	5	12	7	—	5	15	0
For every gallon computed at proof of spirits of any description not heretofore mentioned, including naphtha and methylic alcohol purified so as to be potable, and mixtures and preparations containing spirit	4	2	11	4	3	11	4	5	5	4	6	5

Mr. McGilligan

Does this mean an increase of 2d. per glass of whiskey?

Mr. O Ceallaigh

Per proof glass.

Mr. McGilligan

I want to find out if the Minister has made any calculation as to what the increase is likely to be per glass of whiskey as sold to the public. I know he referred to-day to the fact that this means an increase of 2d. per glass of proof spirit, and that whiskey, as sold to the public, is so much under proof, but taking all things into consideration, and the profits that people will look to get, does it not mean that whiskey is likely to advance by 2d. per glass?

Mr. O Ceallaigh

I would say, if we take into consideration the strength at which it is generally sold, that 1½d. per glass would represent the increase more accurately.

Mr. McGilligan

Can we take it then that it will be pretty definitely a subject for reference to the Prices Commission if the glass of whiskey goes up by more than 1½d.?

Mr. Dillon

Might I intervene to ask Deputy McGilligan and the Minister how they imagine that a busy barman is going to collect 10¾d. for half a glass of whiskey? If the Minister or Deputy McGilligan can solve that, I am prepared to believe that the price per glass will not advance by more than 1½d.

Mr. McGilligan

Is it going up by 2d. per glass?

Mr. Dillon

Of course.

Mr. MacEntee

Deputy McGilligan would encourage them to put it up by 3½d. per glass.

Mr. McGilligan

I am not encouraging the Minister or anybody else into any jocosity over this matter. Does the Minister hold out any promise that the increase will be less than 2d. per glass?

Mr. O Ceallaigh

The Minister is not selling whiskey. The Minister tells the Deputy what he thinks the additional duty will mean.

Mr. McGilligan

Despite any matters that may be raised by Deputy Dillon, or by anybody else, can we get any definite guarantee that the Prices Commission will be put on to any traders who increase the price by more than 1½d. per glass?

Mr. Davin

And to get a refund for those who are charged more.

Mr. A. Byrne

Might I ask the Minister does he not fear that this tax will almost kill the distilling industry altogether? Has not the consumption gone down considerably within the past ten years, due to the price charged, and is it not possible that this tax on an industry which gave very considerable employment in this country, will be the final blow to the industry, and that as a result of the imposition of the extra 2d. per glass, because it probably will be 2d., consumption will entirely cease? At the present moment, on account of the price, whiskey is a real luxury, and people are not buying it. All Irish distillers say that their trade, owing to the decrease in consumption, is disappearing. Is this another effort, by increasing the price, to kill the industry altogether?

Mr. Belton

Could the Minister say what would be the price of a "tailor" of whiskey?

Mr. O Ceallaigh

The Deputy is a financier and he will probably be able to work out that mathematical problem?

Mr. Belton

I thank the Minister for the compliment, but he is paid for doing it.

Mr. McGilligan

What is the full benefit to the Exchequer of this increase?

Mr. O Ceallaigh

In a full year, Customs, £10,000, and Excise, £45,000.

Question put.

The Committee divided: Tá, 63; Níl, 41.

Tá

• Aiken, Frank.
• Allen, Denis.
• Bartley, Gerald.
• Beegan, Patrick.
• Boland, Gerald.
• Bourke, Dan.
• Brady, Brian.
• Brady, Seán.
• Breathnach, Cormac.
• Breen, Daniel.
• Brennan, Martin.
• Breslin, Cormac.
• Buckley, Seán.
• Carty, Frank.
• Childers, Erskine H.
• Cooney, Eamonn.
• Corry, Martin J.
• Derrig, Thomas.
• De Valera, Eamon.
• Flynn, John.
• Flynn, Stephen.
• Fogarty, Andrew.
• Fogarty, Patrick J.
• Friel, John.
• Fuller, Stephen.
• Gorry, Patrick J.
• Hogan, Daniel.
• Humphreys, Francis.
• Kelly, James P.
• Kelly, Thomas.
• Kennedy, Michael J.
• Killilea, Mark.
• Kissane, Eamonn.
• Lemass, Seán F.
• Little, Patrick J.
• Loughman, Francis.
• Lynch, James B.
• McCann, John.
• McDevitt, Henry A.
• McEllistrim, Thomas.
• MacEntee, Seán.
• Maguire, Ben.
• Meaney, Cornelius.
• Moore, Séamus.
• Morrissey, Michael.
• Mullen, Thomas.
• Munnelly, John.
• O Briain, Donnchadh.
• O Ceallaigh, Seán T.
• O'Grady, Seán.
• O'Loghlen, Peter J.
• O'Reilly, Matthew.
• O'Rourke, Daniel.
• O'Sullivan, Ted.
• Rice, Brigid M.
• Ruttledge, Patrick J.
• Ryan, James.
• Smith, Patrick.
• Traynor, Oscar.
• Victory, James.
• Walsh, Laurence James.
• Walsh, Richard.
• Ward, Conn.

Níl

• Belton, Patrick.
• Bennett, George C.
• Benson, Ernest E.
• Broderick, William J.
• Browne, Patrick.
• Burke, Patrick.
• Byrne, Alfred.
• Costello, John A.
• Daly, Patrick.
• Davin, William.
• Dillon, James M.
• Doyle, Peadar S.
• Esmonde, John L.
• Everett, James.
• Fagan, Charles.
• Giles, Patrick.
• Hannigan, Joseph.
• Hughes, James.
• Hurley, Jeremiah.
• Keating, John.
• MacEoin, Seán.
• Byrne, Alfred (Junior).
• Coburn, James.
• Cole, John J.
• Cogan, Patrick.
• Corish, Richard.
• Cosgrave, William T.
• McFadden, Michael Og.
• McGilligan, Patrick.
• McGovern, Patrick.
• McMenamin, Daniel.
• Mongan, Joseph W.
• Mulcahy, Richard.
• Nally, Martin.
• Norton, William.
• O'Sullivan, John.
• Pattison, James P.
• Redmond, Bridget M.
• Reidy, James.
• Reynolds, Mary.
• Ryan, Jeremiah.

Tellers:—Tá: Deputies Smith and Brady; Níl: Deputies P.S. Doyle and Bennett.

Question declared carried.