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Tax Collection

Dáil Éireann Debate, Tuesday - 23 April 2013

Tuesday, 23 April 2013

Questions (188)

Pearse Doherty

Question:

188. Deputy Pearse Doherty asked the Minister for Finance further to the recent initiation of legal action in the High Court against several airlines including Aer Lingus, Ryanair and Comhfhirbairt Gaillimh in respect of recovery of the travel tax on short-haul flights if he will indicate the approximate value of the underpayments; and if he will make a statement on the matter. [18442/13]

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Written answers

On 25th July 2012 the EU Commission, in Decision C(2012) 5037 on State Aid Case number SA 29064, found that the difference between the €10 rate of Air Travel Tax and the €2 rate of Air Travel Tax i.e. €8, constituted a State Aid to the beneficiary airlines. On foot of this Decision Ireland is obliged to recover the aid plus recovery interest. My Department has, since then, followed up with the beneficiary airlines and has sought payment of the beneficial aid amount plus interest. In the case of three airlines, Aer Lingus, Ryanair and Comhfhorbairt (Gallaimh) t/a Aer Arann, plenary summonses have been lodged with the Central Office of the High Court. As legal proceedings have been initiated it would be inappropriate to comment further.

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