I assume that the Deputy is referring to recommendations made by the Shannon Aviation Business Development Task Force in their final report of 12 November 2012, which is available at http://www.dttas.ie/sites/default/files/node/add/content-publication/Nov%202012%20Report%20of%20Aviation%20Business%20Development%20Task%20Force.pdf.
Following that report two specific measures were introduced, which are available in respect of any airport in the State and not restricted to activities at Shannon. The restriction of any measure to a particular airport or region would require the approval from the European Commission to ensure compliance with State aid rules.
The first of these measures was an accelerated capital allowances scheme for the construction and refurbishment of buildings and structures to be used for the maintenance, repair and overhaul of commercial aircraft and the dismantling of such aircraft for the purposes of salvaging or recycling parts or materials.
The second was the introduction of a stamp duty exemption in respect of enhanced equipment trust certificates for aircraft to assist the aircraft leasing sector.
In relation to the Shannon Development Zone, under section 445 Taxes Consolidation Act 1997, certain trading operations carried on by companies in Shannon Airport entitled these entities to a reduced tax rate of 10%. Certification by the Minister for Finance was required for the activities and the categories included:
- Repair or maintenance of aircraft;
- Trading operations that contributed to the use or development of the airport;
- Trading operations ancillary to the above two categories.
Such reliefs became contrary to EU state aid rules and the specific rules applying to the Shannon Development Zone expired on 31 December 2005.
