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Dáil Éireann debate -
Tuesday, 9 May 1961

Vol. 189 No. 1

Ceisteanna—Questions. Oral Answers. - Duties on Motor and Motor-Cycle Parts.

7.

asked the Minister for Finance if he is aware of the considerable number of motor and motor-cycle parts or goods which as a result of the Budget are now liable to a permanent duty of 37½ per cent., compared with the 15 per cent. levy prior to the Budget; and that this change will increase considerably the cost of motor and motor-cycle parts and thereby increase the cost of repairs to motors and motor-cycles; and if he will consider reducing the duty to the former rate.

The recent simplification of the customs duty on motor vehicles and parts, combined with the abolition of the Special Import Levies, had the effect of increasing the overall rate of duty on some parts and reducing it on others. Accordingly, I cannot accept the implication in the question that all repair costs will be increased. In some cases it would be reasonable to expect a reduction in repair costs. I do not propose to alter the rates of duty.

Is the Minister aware that there is quite an exhaustive list of at least 25 separate items that have increased in cost as a result of the increase in the duty from 15 per cent. to 37½ per cent? That list includes items such as brake linings which are frequently required for repairs. In view of the nature of the list, would the Minister re-examine the question?

As I said, there is a uniform rate now for all parts of cars. It does happen, of course, that the costs of some parts are being increased and some reduced.

As I understand it, the costs of unassembled parts in the main have been increased which may have the effect of disturbing the employment of people engaged in that type of work.

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