Vol. 394 No. 8
147 Mr. Noonan (Limerick East) asked the Minister for Finance the full year return to the Exchequer from: (a) an excise increase of 1p on a pint of beer; (b) an excise increase of 1p on a litre of petrol; (c) an excise increase of 1p on a glass of spirits and (d) an excise increase of 1p on a packet of 20 cigarettes.
The information requested by the Deputy is as follows:
|
Increase in excise duty (including VAT) equivalent to |
Estimated increase in revenue to the Exchequer in a full year (excise duty and VAT) |
|
£m |
|
|
1p on a pint of beer |
7.3 |
|
1p on a litre of petrol |
10.2 |
|
1p on a glass of spirits |
1.6 |
|
1p on a packet of 20 cigarettes (with prorata increases in the case of other tobacco products) |
2.8 |
148 Mr. Noonan (Limerick East) asked the Minister for Finance the return to the Exchequer from the total abolition of accelerated depreciation for the purposes of assessment for corporation profit tax, from budget day 1990 for each year for five years.
149 Mr. Noonan (Limerick East) asked the Minister for Finance the expected return to the Exchequer from the abolition of export sales relief for each year from 1990 to 1995, inclusive.
150 Mr. Noonan (Limerick East) asked the Minister for Finance the annual return to the Exchequer from the abolition of section 84 loans.
155 Mr. Noonan (Limerick East) asked the Minister for Finance the cost to the Exchequer of reducing the standard rate of corporation profits tax to the level of the standard rate of income tax.
It is proposed to take Questions Nos. 148, 149, 150 and 155 together.
Owing to the pressure of work arising in connection with the budget, it has not been possible in the short time available to provide the information requested.
If the Deputy repeats his questions in two weeks time, I will provide, as far as possible, the required information.
151 Mr. Noonan (Limerick East) asked the Minister for Finance the full year return to the Exchequer which would be achieved by: (a) abolishing mortgage interest relief, (b) abolishing health insurance income tax relief and (c) abolishing life assurance income tax relief.
The estimated gains to the Exchequer from the changes mentioned by the Deputy are approximately as follows in 1990-91 terms: (a) £230 million, (b) £57 million and (c) £35 million.
152 Mr. Noonan (Limerick East) asked the Minister for Finance the net full year loss to the Exchequer resulting from (a) a reduction of 1 per cent in the standard rate of income tax, (b) a reduction of 1 per cent in the 48 per cent rate of income tax and (c) a reduction of 1 per cent in the 56 per cent rate of income tax.
The estimated costs to the Exchequer of the changes mentioned by the Deputy are approximately as follows in 1990-91 terms: (a) £60 million, (b) £11 million and (c) £11 million.
153 Mr. Noonan (Limerick East) asked the Minister for Finance the net full year loss to the Exchequer resulting from: (a) a reduction of 1 per cent in the 25 per cent standard rate of VAT and (b) a reduction of 1 per cent in the 10 per cent VAT rate.
The estimated gross costs in a full year of 1 per cent reductions in the 25 per cent and 10 per cent rates of VAT, as at present applied, would be £63 million and £41 million respectively. The net impact of the changes depend on a wide range of assumptions regarding the underlying economic conditions prevailing, both internationally and domestically.
154 Mr. Noonan (Limerick East) asked the Minister for Finance the full year return to the Exchequer from: (a) a 1 per cent imposition of VAT on all food products which are zero rated at present, (b) a 1 per cent imposition of VAT on children's shoes and clothing and (c) a 1 per cent imposition of VAT on items other than food, children's shoes and clothing which are at present zero rated; and if he will provide such information on a return per category basis.
If VAT were to be applied at 1 per cent to the items mentioned, it is estimated that the full year yield to the Exchequer would be as follows:
|
£m |
£m |
|
|
Food |
22.1 |
|
|
Children's clothing and footwear |
1.3 |
|
|
Other items (currently zero rated) |
2.6 |
|
|
—oral medicine |
2.1 |
|
|
—books |
0.4 |
|
|
—medical aids |
0.1 |
