Vol. 563 No. 6
60 Mr. R. Bruton asked the Minister for Finance if he has received representations regarding the unfair impact of the changes in vehicle registration tax in respect of stocks that had been already built up in anticipation of sales, and by virtue of the selection of the cut off point for the higher VRT rate; and if he will make a statement on the possibility of modifications to deal with these problems. [8564/03]
I assume that the Deputy is referring to the changes in the structure of VRT bands which I introduced in my budget last December. Previously a VRT rate of 25% applied to cars with engine sizes from 1,401cc to 2,000cc and a rate of 30% applied to cars of 2,001cc and over. From 1 January the 30% rate now applies to all cars of 1,901cc and over. I have received representations regarding this matter.
It is the normal practice for changes in excises including VRT to be implemented by way of a Financial Resolution on budget night with effect either from budget night or 1 January. In accordance with normal practice the VRT change announced in the budget has now been enacted into law. It is not the practice to review such changes or alter their implementation other than in the context of the lead up to the annual budget and I do not propose to depart from normal practice.
I will, as always, be happy to consider any proposals regarding changes to the structure of VRT in the context of the lead up to next year's budget.
