Timmy Dooley
Ceist:176. Deputy Timmy Dooley asked the Minister for Finance the estimated cost of reducing the VAT rate on services (details supplied) from 13.5% to 9%, 4.8%, and 0%, respectively, in tabular form. [31456/18]
Amharc ar fhreagraWednesday, 11 July 2018
Ceisteanna (176)
Freagraí scríofa
I am advised by the Revenue Commissioners that traders are not required to separately identify the yield generated from a particular activity or product type on the VAT3 return. Therefore, it is not possible to provide an estimate of the cost of reducing the VAT rate on the list of products supplied by the Deputy.
For the Deputy’s general information, the VAT rating of goods and services is subject to the requirements of EU VAT law, with which Irish VAT law must comply. The VAT Directive provides that Member States may apply either one or two reduced rates to certain goods and services which are listed in Annex III (of the Directive). In addition, the Directive also allows for historic VAT treatment to be maintained under certain conditions on certain goods and services that are not provided for in Annex III.
It is not legally possible to apply a zero or 4.8% VAT rate to the services listed by the Deputy. As the carrying out of minor repairs to bicycles, shoes or leather goods, clothing or household linen and the repair and maintenance of private dwellings are specifically listed in Annex III of the Directive, it would be possible to apply the 9% rate to them.