Written Answers Nos. 44-48
44. Deputy Finian McGrath asked the Tánaiste and Minister for Social Protection her views on a matter (details supplied) regarding community employment schemes; and if she will make a statement on the matter. [45559/14]
View answerProvision has already been made with regard to duration for vulnerable groups and older people on CE. With effect from 3rd April 2000, lifetime cumulative participation on CE by an individual is as follows:
- 3 years (156 weeks) maximum for persons under 55 years of age.
- 6 years (312 weeks) for persons of 55 years of age up to State Pension age.
- For people in receipt of a qualifying disability-linked social welfare payment, for those under 55 years of age (Part-Time Job Option only), 4 years cumulative time on CE applies and 7 years cumulative time for those between 55 and State Pension age (Part-Time Job Option only).
- For referred clients to drug rehabilitation schemes, the standard eligibility requirements are waived and the maximum participation can be up to 4 years.
Participation on CE prior to 3rd April 2000 is not counted.
45. Deputy James Bannon asked the Minister for Finance the measurers in place to deal with the serious issue of petrol stretching in the midlands; and if he will make a statement on the matter. [45408/14]
View answer46. Deputy James Bannon asked the Minister for Finance the number of petrol stations in the midlands that have been investigated in the past 12 months by Customs and Excise; and if he will make a statement on the matter. [45409/14]
View answerI propose to take Questions Nos. 45 and 46 together.
I am advised by the Revenue Commissioners, who are responsible for tackling fuel fraud, that they are very aware of the risks posed to consumers' vehicles, legitimate businesses and the exchequer by all forms of fuel fraud in the midlands and throughout the country.
Revenue has, over the recent past, received reports from a variety of locations, including the midlands, of problems relating to petrol quality, and suggestions that these problems are attributable to petrol stretching. Revenue investigates all complaints of this kind and fuel samples are taken from filling stations and referred to the State Laboratory for analysis where the investigating officers have reason to suspect excise fraud. The State Laboratory makes use of an array of tests to determine whether a relevant adulteration of the petrol has occurred. Revenue is also working closely with An Garda Síochána in a joint investigation of a concentration of complaints in the midlands and west.
All licensed filling stations in the midlands have been subject to compliance checks by Revenue staff over the past twelve months. Complaints alleging petrol stretching have been received in relation to eleven named filling stations in counties Westmeath, Roscommon and Longford and these are being investigated.
A total of 129 samples of petrol from filling stations in the Border Midlands West Region have been referred for analysis to the State Laboratory following checks conducted from June 2014 to date. Conclusive results have been received from the State Laboratory in two samples which indicate the contamination of petrol through the presence of kerosene. Files are being prepared for prosecution arising from these results. To date, no evidence of fraudulently contaminated petrol has been found in any of the other samples referred for analysis and this includes the samples taken in the midlands.
As part of Revenue's normal operating procedures, fuel delivery tankers are challenged when encountered by Enforcement officers throughout the Border Midlands West Region. No cases of contaminated petrol have been identified as a result of these checks from June 2014 to date.
The Revenue Commissioners are continuing their investigation in conjunction with An Garda Síochána and are actively sampling suspect filling stations, monitoring deliveries of petrol and examining the supply chain in an effort to determine the origin of the suspect petrol. Petrol stretching is an offence under Section 102 (1A) of the Finance Act 1999. The Deputy can be assured that, if Revenue's investigations and the analysis of fuel samples by the State Laboratory indicate the presence of illegal stretching agents in petrol, Revenue will take action and pursue prosecutions against offenders where possible.
Motorists themselves should take care about where they source their petrol and should report any suspicions to Revenue. Revenue has recently launched a dedicated section of its website specifically dealing with the shadow economy and this includes a reporting facility for anyone who has information about shadow economy practices, including the adulteration of fuel.
47. Deputy Ciara Conway asked the Minister for Finance the reason equipment needed for citizens, and specifically children, with special needs is charged at the higher VAT rate; his plans to reduce the rate of VAT on special needs equipment in view of the fact that it places an extra financial burden on support groups, particularly voluntary groups; if there is any means by which voluntary organisations that work with children with special needs may claim a refund on VAT paid on specialist equipment; and if he will make a statement on the matter. [45419/14]
View answerI am advised by the Revenue Commissioners that the VAT rating of goods and services is subject to the requirements of EU VAT law, with which Irish VAT law must comply. While we can maintain the zero rating on those goods and services which were zero-rated before 1 January 1991, the equipment referred to in general terms by the Deputy does not fall within this category. Similarly, member states may only apply a reduced VAT rate to those goods and services set out in Annex III of the EU VAT Directive (2006/112/EC). Equipment for persons with special needs is not included in this annex. Therefore, it is not possible to apply a zero or reduced VAT rate to equipment for persons with special needs.
There is provision for the refund of VAT incurred on qualifying goods for the exclusive use of disabled persons in the Value Added Tax (Refund of Tax) (No 15) Order 1981. The order specifies the degree of disability and defines the qualifying goods as goods which are aids or appliances, including parts and accessories, specially constructed or adapted for use by a disabled person. Voluntary organisations that work with children with special needs may claim a refund on VAT paid on specialist equipment provided that the conditions of the Order are met, in particular, that the equipment is supplied by the voluntary organisation, other than in the course of business, and that the equipment is used exclusively by a specific individual. A Claim Form VAT 61A is available on the Revenue website www.revenue.ie.
48. Deputy David Stanton asked the Minister for Finance further to Parliamentary Question No. 41 of 10 July 2014, the progress that has been made in the development of a new fuel grant under the disabled drivers and disabled passengers scheme to come into effect in 2015 to replace the current fuel excise relief scheme; and if he will make a statement on the matter. [45423/14]
View answerIn April 2013 the Court of Justice of the European Union ruled that the excise relief element of the Disabled Drivers and Disabled Passengers (Tax Concessions) Scheme is incompatible with the EU Energy Tax Directive. My Department has informed the European Commission of my intention to remove the excise relief element of the Scheme at the end of 2014 and replace it with a fuel grant in 2015. The European Commission has raised no objections.
To give effect to this I signed a statutory instrument in March of this year (S.I. 139 of 2014) with the effect that Regulation 16 of the Disabled Drivers and Disabled Passengers (Tax Concessions) Regulations (S.I. 353 of 1994) would be revoked as of 1 January 2015. As such, members of the Scheme may claim excise relief on any fuel used up to 31 December 2014.
From 1 January 2015, current and prospective members of the Scheme will be eligible for a fuel grant in respect of fuel used during the year. At this time, I intend to maintain the current practice of paying the sum a year in arrears, so payments of the fuel grant in respect of fuel used in 2015 will take pace from January 2016.
As I informed the Deputy in July, I have instructed my officials to design the new grant in such a way to provide as seamless a transition as possible between the excise relief on fuel element and the new fuel grant and, as I stated in March, members of the Scheme will not be at a loss in the transition.
Officials from my Department are continuing to engage with other Departments and the Revenue Commissioners in order to put in place the legislative, administrative and financing changes necessary for the operation of the fuel grant. I intend to notify members of the Scheme of the details of the new fuel grant as soon as all the details are finalised.
