asked the Minister for Finance if he will outline in detail the likely changes in car prices from 1 January 1985 taking into consideration the ending of the protective duty on car sales in this country.
Written Answers. - Car Prices.
453.
I presume the Deputy is referring to import restrictions which this country has applied under the Motor Vehicles (Registration of Importers) Act, 1968, and Protocol 7 to the EEC Treaty of Accession; these restrictions will cease to operate from 1 January 1985. It is not possible to indicate whether the change will have any effect on car prices.
As far as the taxation of motor vehicles is concerned, as I indicated in my budget statement, the ending of these restrictions does not mean that there will be any reduction in the level of excise duty on motor vehicles. This country's taxation of motor vehicles is, and will continue to be, a matter for decision at national level, subject to the general taxation rules laid down in the EEC Treaty which prohibit, for example, discriminatory tax treatment of imports from other member states as compared with domestic production. However, I am having this taxation regime examined at present to see whether any changes in the method of charging the excise duty would be desirable to meet the new circumstances.