asked the Minister for Finance the estimated yearly revenue from wholesale tax.
Ceisteanna—Questions. Oral Answers. - Wholesale Tax.
25.
The yearly revenue from wholesale tax is estimated at £5 million.
26.
asked the Minister for Finance the reasons why the new wholesale tax is to be applied to shoe leather for repair work; and if, in view of the fact that leather used for this type of work is a necessity, particularly for the lower income groups, he will remove the tax from this commodity.
27.
asked the Minister for Finance if, in view of the fact that school books are an obvious necessity for every school child, he will state the reasons why the new wholesale tax, which was stated not to be applicable to necessities, is to be applied to school books; and if he will remove the tax from these items.
28.
Mr. Barrett
asked the Minister for Finance if he will take steps to ensure that, having regard to the great hardship involved, the new wholesale selective 5 per cent tax will not apply to school books.
29.
asked the Minister for Finance if he will arrange to have the 5 per cent tax on school books removed.
With your permission, a Cheann Comhairle, I propose to take Questions Nos. 26, 27, 28 and 29 together.
On 21st September, 1966, the Minister for Finance made a comprehensive Order exempting a number of commodities from wholesale tax. The Order covered books, including school books, and shoe leather, including shoe leather for repair work.
Good.
30.
asked the Minister for Finance the position of small unregistered wholesalers, who will be charged wholesale tax on their purchases of goods for re-sale, when selling goods to multiple branch retailers who have registered as wholesalers for wholesale tax purposes; and if he will explain how they are expected to recover the added tax, in view of the fact that the goods in question will be doubly taxed if wholesale prices are increased by 5¼ per cent.
It is not the intention that the wholesale tax should apply more than once to an article on its passage from the manufacturer to the consumer. If any small wholesaler or retailer is supplying other traders who are registered for the tax he will be allowed to register also so as to enable him to supply his registered customers at tax-free prices. In these circumstances the second part of the question does not arise.
31.
asked the Minister for Finance if, in view of the extreme confusion caused in business circles by the complexities of the new wholesale tax, he will postpone the onset of the tax by three months to allow for clarification of the many problems arising for business people.
The answer to the Deputy's request must be in the negative. I do not accept the suggestion that the wholesale tax is complex or that it is causing extreme confusion in business circles.
32.
asked the Minister for Finance what steps are proposed to compensate business people for the heavy costs of administering the wholesale tax.
33.
asked the Minister for Finance if any study was made by him of the prospective heavy costs confronting business people in operating the wholesale tax; and, if so, with what result.
With your permission, a Cheann Comhairle, I propose to take Questions 32 and 33 together. If the Deputy will refer to my statement to the Dáil on 14th June, 1966, in which I announced my intention of introducing the wholesale tax, he will see that I said that it would be operated in conjunction with the turnover tax and that, in general, it would require very little additional record-keeping. I see no reason now to modify that statement or to accept the Deputy's suggestion that heavy costs confront business people who are registered for the tax. In my view, therefore, the Deputy's first question does not arise.