Liam Aylward
Ceist:263 Mr. Aylward asked the Minister for Finance if a disabled person can reclaim VAT on materials purchased for the erection of a new house. [18464/98]
Written Answers. - VAT Repayments.
There are no repayments of VAT available in respect of any general construction, including the erection of a house carried out for a person with disabilities.
However, it is possible under VAT (Refund of Tax) (No. 15) Order 1981, for individuals with disabilities to obtain repayment of VAT expended on certain aids and appliances which assist persons with a disability overcome that disability. For example, walk-in-baths, lifting seats and chairs, hoists and lifters and stair lifts designed for people with a disability, as well as iron lungs and kidney machines can qualify for relief. There are no repayments for general construction work, as under VAT law this is a service and is consequently not covered by the order.
Any extension of this order to allow for the repayment of VAT on general construction costs could be seen as the introduction of an additional zero rate of VAT and under the EU Sixth Directive, member states may maintain existing zero rates but are prohibited from introducing new ones.
The Deputy may be interested to know that there are direct grants available from the Department of the Environment and Local Government for the construction of facilities for people with disabilities and the operation and terms and conditions of the scheme is a matter for that Department.