asked the Minister for Foreign Affairs whether the United Nations agreement known as the Florence Agreement relating to a request by the UN to countries to stop the imposition of value-added tax on certain medical instruments and requisites was signed by Ireland; if not, the proposals if any, for such a signing, and the proposals if any, to remove value-added tax on such instruments, and other medical requisites.
Written Answers. - Value-Added Tax on Medical Materials.
174.
The Florence Agreement, or the UNESCO Agreement on the Importation of Educational, Scientific and Cultural Materials, was accepted by Ireland on 19 September 1978. This agreement applies only to Customs duties and does not affect value-added tax. It does not provide for the exemption from duties or tax of medical instruments and requisites. However, books, publications and documents of all kinds in raised characters for the blind are among the items which may be imported duty-free from other contracting states.
A Protocol to the agreement which was adopted by the General Conference of UNESCO in 1976 would broaden the scope of the agreement to make possible the duty-free importation of further articles for the blind as well as materials specially designed for the education, employment and social advancement of other physically or mentally handicapped persons, subject to certain conditions. Medical instruments and requisites are not included. It is expected that the new provisions will apply in Ireland and other EEC countries as from 1 January 1980. The question of the removal of VAT from medical instruments and requisites is a matter for the Minister for Finance.