asked the Minister for Finance if, in view of the great financial strains being experienced by many school management boards, expecially in schools where the total number of pupils is a great deal less than it was at its peak, there is a case to have VAT exemption status granted for capitation expenditure by school management boards; whether it will be possible to consider some tax exemption or tax relief for donations to school management boards; and if he will make a statement on the matter.
Written Answers. - School Management Boards VAT Exemption.
46.
Institutions in the educational sector are exempt from VAT. This means that while they do not have to charge VAT on any services they provide there is no provision whereby they can be relieved of tax charged to them on their purchases of goods and services. This is a mandatory exemption under EC law by which we are bound and accordingly it is not open to me to change it.
As for the introduction of tax exemptions or reliefs for donations to school management boards I have no plans in this regard.