Thomas P. Broughan
Ceist:112. Deputy Thomas P. Broughan asked the Minister for Finance the amount it would cost in a full year if the 13.5% VAT rate on constructing new houses and apartments was reduced to 11.5%. [32905/16]
Amharc ar fhreagraWednesday, 2 November 2016
Ceisteanna (112)
Freagraí scríofa
The VAT rating of goods and services is subject to the requirements of EU VAT law with which Irish VAT law must comply. Article 98 of the EU VAT Directive limits to two the number of reduced rates a Member State may have. Since Ireland has two reduced rates, the 13.5% and the 9% rate, it would not be possible to introduce a third reduced rate for a category of construction activities. Accordingly, I am not in a position to provide the projected figures for the reduction of the VAT rate suggested by the Deputy.