Martin Mansergh (Tipperary South, Fianna Fail)

This section amends section 95 of the Value-Added Tax Consolidation Act, which deals with transitional arrangements relating to deductibility for housing and burial plots sold by public bodies that have been subject to VAT from 1 July 2010. The amendment provides for a deductibility adjustment, which is to be no greater than the amount of VAT due on the sale, for housing and burial plots sold by public bodies on or after 1 July 2010 which were required or developed by them before that date and where there is otherwise no entitlement to VAT input credit.

Since 1 July 2010, the deductibility adjustment has been provided administratively pending the necessary amending legislation. If I understand the section correctly, it is less an imposition and more a relief for public bodies. Sometimes, if one does not have one side, one cannot claim it on the other.

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