Dáil Éireann Debate, Wednesday - 14 December 2016
90. Deputy Catherine Murphy asked the Minister for Finance if he will consider reducing the VAT on adult motorcycle helmets and cycle helmets from the standard 23% rate in line with the zero rate on children's safety helmets in view of the fact that they are an essential component in motorcycle and bicycle safety; and if he will make a statement on the matter. [40257/16]
View answerThe VAT rating of goods and services is subject to the requirements of EU VAT law with which Irish VAT law must comply.
Ireland's application of the zero rate of VAT to children's safety helmets derives from the derogation under Article 110 of the EU VAT Directive. Under that provision Ireland may retain the zero rate on goods and services which were in place on 1 January 1991, but may not extend its scope. As Ireland did not apply the zero rate to the supply of adult helmets at that date, we are precluded from doing so now.
