Timmy Dooley
Question:96. Deputy Timmy Dooley asked the Minister for Finance the estimated full-year cost of reducing the BIK rate on electric vehicles to 0% for each year until 2023. [50992/17]
View answerWednesday, 29 November 2017
Questions (96)
Written answers
I am advised by Revenue that tax due as a result of benefit-in-kind is not separately declared by benefit type on employer returns, instead the total aggregated benefit-in-kind figure is declared to Revenue, therefore there is no basis for compiling the costing sought by the Deputy.
Given the relatively small numbers of electric vehicles currently registered in Ireland, and the fact that many of these are privately owned, the cost of the measure proposed is likely to be low at present. The estimated cost of the measure for 2018 for the purposes of inclusion in budgetary arithmetic is €500,000 in tax forgone.
A review of the BIK applying to motor vehicles in general is to take place in 2018. This review will include how best to implement a longer term 0% rate for electric vehicles.