Vol. 474 No. 3
74 Mr. N. Ahern asked the Minister for Finance the situation in relation to proposed EU laws to close duty free shops; the current deadline in this regard; the efforts, if any, made to seek an extension of this deadline; the likely effect on employment in our ports and airports if the changes are introduced; and if he will make a statement on the matter. [2930/97]
The provisions of EU Directives 91/680/EEC and 92/12/EEC, agreed as part of the tax measures establishing the EU single market, authorise the continuation, until 30 June 1999, of duty free shopping facilities for intra-Community travellers. This arrangement was agreed to allow the duty free operators time to diversify their activities. In the absence of a proposal from the Commission and an agreement at Council, duty free sales for intra-Community travellers will cease on 30 June 1999.
There are no plans to terminate duty free or tax free sales for travellers to non-EU destinations in 1999. That portion of the duty free business will remain and, for certain airports, particularly Shannon Airport, the non-EU travellers are a very important source of revenue. Other State airports also handle traffic to and from non-EU locations.
