Richard Bruton
Question:17 Mr. R. Bruton asked the Minister for Finance whether he has reviewed the manner in which revenue is raised from petroleum products; and if he will make a statement on the matter.
Written Answers. - Petroleum Products Revenue.
The scope, structure and level of indirect taxes as they apply to consumer goods and services are generally kept under regular review. The annual budget is the normal medium for implementing any policy changes considered necessary.
Revenue from petroleum products is raised through a combination of excise duty and VAT. Excise duty is raised on the volume of product at specific rates of duty. These rates vary depending on the use and nature of the product. VAT is levied on the excise-inclusive price of petroleum products. This regime of taxes on petroleum products is the norm for the member states of the EC and is envisaged in the Commission's 1992 proposals as broadly continuing following completion of the Community Single Market.
Taxation of petroleum products is a very important source of revenue for the Exchequer and, as I have said, is regularly reviewed in the most appropriate context for consideration of these matters. I am satisfied that the existing regime is operating efficiently.