Dáil Éireann Debate, Wednesday - 20 November 2013
13. Deputy Joe McHugh asked the Minister for Finance if he will leverage the Finance Bill to ensure maximum activity in the leisure and recreational sector; if he will specifically reference the basket of services to which the lower VAT rate applies; and if he will make a statement on the matter. [49075/13]
View answerThe 9% reduced VAT rate for tourism related services was introduced in July 2011 as part of the Government Jobs Initiative. The measure was designed to boost tourism and create additional jobs in that sector, which includes leisure and recreational services. As the Deputy will be aware, I announced in the recent Budget that the 9% VAT rate would be retained. The goods and services to which the 9% VAT rate applies are those, and only those, listed in paragraphs 3(1) to (3), 7, 8, 11, 12, and 13(3) of Schedule 3 of the VAT Consolidation Act 2010. Examples of such goods and services include:
- catering and restaurant supplies, that is the supply of food and drink in the course of catering, including vending machines, hot take-away food and hot drinks. However, alcohol and soft drinks sold as part of a meal apply at the 23% rate and not at a reduced rate.
- hotel lettings, including guesthouses, caravan parks, camping sites, etc.
- admissions to cinemas, theatres, certain musical performances, museums, art gallery exhibitions, and built and natural heritage
- amusement services of the kind normally supplied in fairgrounds or amusement parks
- facilities for taking part in sporting activities including green fees charged for golf and subscriptions charged by non-member-owned golf clubs
- printed matter e.g. newspapers, magazines, brochures, leaflets, programmes, maps, catalogues, printed music (excluding books)
- hairdressing services.
In addition, Finance (No. 2) Bill 2013 makes provision to extend the 9% VAT rate to the supply of greyhounds and racehorses and to the hire of horses.
