Michael D'Arcy (Wexford, Fine Gael) | Oireachtas source

In this year's budget, the Minister, Deputy Donohoe, extended the 0% benefit-in-kind rate for electric vehicles to the end of 2021. Having regard to the value for money and tax equity considerations, the Minister announced a cap of €50,000 on the original market value of the vehicle that can be fully relieved from benefit-in-kind. It was noted that this cap received full support on Committee Stage but that Deputies Ryan and McGrath want it to be disapplied for employees or directors who had electric vehicles made available to them between budget 2018 and budget 2019 on the basis that such persons had reasonable expectations that a cap would not be applied. In recognition of the points made by Deputies Ryan and McGrath, I am tabling my own amendment to section 9. The effect of this amendment is that the cap will not be applied for the tax years 2019 and 2020 to employees or directors in possession of electric vehicles that were first made available to them between 10 October 2017 and 9 October 2018.

On 1 January 2021, the €50,000 cap will apply to all electric vehicles regardless of when they were first made available.

Deputy McGrath remarked on the consideration of an individual. It might only be one individual or it might be more.

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