Wednesday, 16 January 2019

Ceisteanna (111)

Brendan Griffin

Ceist:

111. Deputy Brendan Griffin asked the Minister for Finance his plans to apply VAT on health supplements; and if he will make a statement on the matter. [1857/19]

Amharc ar fhreagra

Freagraí scríofa (Ceist ar Finance)

The standard rate of VAT applies to food supplements. However, a Revenue concession allowed the zero rate to be applied to certain types of vitamins, minerals and fish oils. Because of complications in interpretation, the Revenue Commissioners have decided to remove this concession with effect from 1 March 2019 so that all food supplements will be charged at the standard VAT rate.

However, independent of Revenue’s decisions on interpretation, I agreed during the recent Finance Bill to put in place a process that will conclude in the 2019 Tax Strategy Group Paper to examine some of the policy choices around the VAT treatment of food supplements.

It should be noted, however, that human oral medicines, including certain folic acid and other vitamin and mineral products, licenced by the Health Products Regulatory Association will continue to apply at the zero rate of VAT. Infant foods will also continue to be zero rated.