I propose to take Questions Nos. 184 and 188 together.
Section 46 of the Finance Bill provides for a restriction of the flat-rate scheme for farmers with effect from 1 January 2017. The amendment gives the Minister for Finance the power to make an order excluding particular agricultural goods or agricultural services from the flat-rate addition scheme. This power can be exercised where Revenue has carried out a review and the Minister for Finance is satisfied that, because of the business structures, contractual arrangements or models in place in a particular sector, the application of the flat-rate addition within that sector has resulted in, and would otherwise continue to result in, a systematic excess of flat-rate addition payments over VAT on inputs incurred by flat-rate farmers in that sector.
As the measure being introduced by Section 46 is an enabling provision, it is not necessary to delay its implementation as suggested. The review by Revenue will provide an opportunity for the sector under review to change its structures as necessary and there is no specified time in which the Minister for Finance must decide on restrictions to the flat-rate scheme. The Minister for Finance will have the ability to delay signing an Order to restrict the flat-rate addition, if he believes that the effected agricultural sector are rearranging their business structures, contractual arrangements or models to provide that no systemic excess of flat-rate addition payments will incur.