Pearse Doherty (Donegal South West, Sinn Fein)
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I move amendment No. 72:

In page 81, between lines 27 and 28, to insert the following:"(c) the Principal Act is amended by inserting a new paragraph 6 to Schedule 1, Part 1:

"6. The supply of services and goods to non-profit making organisations for the production of events or monuments designed to commemorate the centenary of the 1916 Easter Rising.".".

This relates to a VAT exemption for the supply of services and goods to non-profit making organisations for the production of events or monuments designed to commemorate the centenary of the 1916 Easter Rising. The commemoration will be a big occasion and it is hoped that community groups the length and breadth of the State can be involved with commemorating and celebrating the activities of those who were involved with the events of 1916 and remembering them in a fitting manner. I assume this will be done in different ways, with some people constructing monuments or gardens while there will also be events based in the tradition of Irish language and dancing, arts, poetry and any other type of imaginable activity.
Many of these groups will raise funds and they might get small local grants but they will have to pay VAT on costs. Approximately a quarter of the cost will end up in the Government's pocket when people commemorate the events of 1916. As the Government has not been able to provide much money to commemorate these events across the country, it would be appropriate that any event organised at a local level by a not-for-profit organisation would not be subject to VAT. This is a unique opportunity, as it is a centenary event. A strong case should be made in this respect.
The amendment is open to change as I could not determine how to regulate the process. For example, a group might argue that any event was a centenary event for 1916 and seek a refund of the 23% VAT rate. We had to produce our amendments before the Government's plan became apparent but there should be some type of regulatory process to cover the issue. Perhaps the projects would have to be agreed beforehand. Mechanisms have been used in the past where proposals were pitched and if approved, a group could avail of a VAT exemption. There will not be much forgone tax if we follow through on this but I am unsure if there are European Union rules that may affect the measure. There should be ways around the problem. We know that cultural bodies, for example, are exempt from VAT, so perhaps part of this idea could come under that umbrella. Where there is a will, there is a way, so I am interested to hear the Government's view on this proposal.