Dáil Éireann debate -
Thursday, 12 Mar 1998

Vol. 488 No. 6

Written Answers. - Pharmacies' Turnover.

Michael Noonan

Question:

150 Mr. Noonan asked the Minister for Finance the turnover of pharmacies in Ireland as given in VAT returns; the amount of VAT paid on this turnover; the amount of turnover which is derived from the sale of medicine; and if he will make a statement on the matter. [6834/98]

Minister for Finance (Mr. McCreevy)

I am informed by the Revenue Commissioners that VAT returns would indicate that the annual turnover of pharmacies is approximately £450 million, VAT exclusive. It is estimated that the VAT paid by pharmacies last year was of the order of £50 million. However, it should be noted that these data are based on a very limited sample of returns.

It is not possible to isolate the amount of turnover derived from the sale of medicine, both oral and non-oral, from VAT returns as they are not compiled in a manner that would enable data for different products to be identified. It should be noted that no VAT accrues from sales of oral medicine, which attracts VAT at the zero rate.