Skip to main content
Normal View

Dáil Éireann debate -
Thursday, 4 May 1995

Vol. 452 No. 4

Written Answers. - Motor Vehicle Taxation.

Seamus Brennan


32 Mr. S. Brennan asked the Minister for Finance if he will review the application of section 20 of the Finance (No. 2) Act, 1992, in relation to the circumstances of a person (details supplied). [8153/95]

Under section 20 of the Finance (No. 2) Act, 1992, motor vehicle excise duty, motor tax, is payable from the commencement of the month of registration of a vehicle in the State. There is no provision in existing legislation for exemptions from this requirement.

The Finance Bill, 1995 does, however, include a proposed amendment of the current legislation, which, provided that certain conditions are fulfilled, will deal with prolonged delays between licensing and first registration arising after the Bill becomes law. I regret that this provision cannot be given retrospective effect.

Mary Wallace


33 Miss M. Wallace asked the Minister for Finance if he will consider raising the maximum VAT and VRT reclaim limits for cars purchased by disabled drivers and disabled passengers. [8154/95]

The monetary limits on reliefs of VAT and vehicle registration tax, VRT, for disabled drivers and passengers were considered in the context of a comprehensive review of the operation of the disabled drivers scheme which was completed late last year. The review concluded that the existing combined limit of £7,500 for disabled drivers was reasonable in respect of qualifying vehicles and recommended that no change should be made. This ceiling allows for full tax relief on vehicles up to a retail value of £20,500 at current rates of VRT and VAT. In the case of disabled passengers, the review concluded that the ceiling on relief on qualifying vehicles should be increased from £9,000 to £12,500 in recognition of the potential need for larger, more expensive vehicles. In the case of certain vehicles used by organisations catering for the disabled, the monetary limit may be waived.

The current Disabled Drivers and Disabled Passengers Regulations, giving effect to the review recommendations, came into effect on 1 December 1994. I consider that the limits concerned are both reasonable and appropriate and are not restrictive for qualifying individuals.