The VAT rating of goods and services is subject to EU VAT law, with which Irish VAT law must comply. In accordance with the Directive, defibrillators, other than implantable defibrillators, are liable to VAT at the standard rate, currently 23%. The installation of defibrillators is also liable to VAT at the standard rate.
I am advised by Revenue that generally, businesses that are registered for VAT, including businesses in the leisure sector, are entitled to reclaim the VAT borne on the input costs associated with their taxable business activities including the cost of purchasing and installing defibrillators. As sporting activities are exempt, sports clubs cannot normally reclaim the VAT they incur on their purchases.
The Deputy may be aware that the VAT Compensation Scheme for Charities was introduced in Budget 2018 to reduce the VAT burden on charities through the partial compensation of VAT they incur. However, one of the conditions for qualification under the scheme is registration as a charity under Section 207 of the Taxes Consolidation Act 1997. Bodies established for the promotion of athletic or amateur games or sports are normally granted tax exemption under Section 235 Taxes Consolidation Act 1997, and this being the case may not be eligible to claim under the Charities Compensation Scheme.