Dáil Éireann Debate, Thursday - 13 July 2023
326. Deputy Pearse Doherty asked the Minister for Finance the revenue allocated to the disabled drivers and disabled passengers scheme in 2023 and 2025, respectively; if the amount allocated for 2025 is in the tax base, as per the Summer Economic Statement; and if he will make a statement on the matter. [35426/23]
View answer327. Deputy Pearse Doherty asked the Minister for Finance if the grant scheme to replace the disabled drivers and disabled passengers scheme is provided for in either the expenditure or tax base for 2025, as per the Summer Economic Statement; if so, the numerical impact with respect to same; and if he will make a statement on the matter. [35427/23]
View answerI propose to take Questions Nos. 326 and 327 together.
The Deputy should note at the outset that no Government decision has been made on the replacement of the Disabled Drivers and Disabled Passengers scheme (DDS) with a grant scheme. Therefore, no provision has been made for it in either the expenditure or tax base for 2025.
This matter is under consideration. The Department of the Taoiseach has convened a Senior Officials Group (SOG) to discuss how proposals of the NDIS TWG final report - including a possible grant-aided, needs-based vehicular adaptation scheme to replace the DDS - can be progressed. A first meeting was held on 3rd July 2023. My officials are engaging and actively contributing to discussions on this matter. However, it will be a matter for the SOG and for Government to determine any timelines or next steps as may be decided.
In relation to the revenue allocated to the DDS in 2023 and 2025, respectively, the Deputy should note that as a tax expenditure measure with no sunset clause, it is built into the tax base.
I am advised by Revenue that the cost of the disabled drivers and disabled passengers scheme in 2022 and for the year to date in 2023 is as follows:
|
Repayment Type |
2022 €m |
YTD June 2023 €m |
|
VAT |
27.4 |
15.8 |
|
VRT |
37.0 |
20.9 |
|
Fuel Grant Repayments |
9.8 |
7.4 |
|
Total |
74.2 |
44.1 |
The value of reliefs and exemptions for the disabled drivers and disabled passengers scheme for previous years is available on the Revenue website at: www.revenue.ie/en/corporate/documents/statistics/tax-expenditures/costs-tax-expenditures.csv
It is not expected that there will be a major increase in tax foregone from the figures above in the next number of years, should the existing scheme remain in place.
Finally, the DDS fuel grant is paid, as direct expenditure, through the Department of Finance Vote 7. Per annum costs of the fuel grant payment is c. €10 million per annum. It is expected that a similar amount of money will be allocated for the fuel grant in 2025, should the existing scheme remain in place.
