Dáil debates

Tuesday, 5 February 2019

Saincheisteanna Tráthúla - Topical Issue Debate

VAT Rate Application

6:40 pm

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

The Minister's intention at the time of the last budget was that he would not interfere with the Revenue Commissioners in considering the matter.

The Deputy will be aware that the Revenue Commissioners operate independently of the Department of Finance. However, I will relay the Deputy's concern to the Minister when I meet him tomorrow.

I have met representatives from the health food sector. The Minister for Finance, Deputy Donohoe and I will give the sector a very fair hearing. However, there is a challenge created by the hundreds of food supplement products on the market. For some of these, the correct rate of VAT is 23% and others are zero rated. This is unhelpful. As the e-note from Revenue states, products which were zero rated for VAT in 2011 and 2013 will remain at zero rated, however some products are VAT chargeable due to European VAT law. The challenges to continue rating all these products at zero percent is not helpful.

The Minister, Deputy Donohoe, gave an undertaking that the tax strategy group would consider the matter, which it will, and the Minister and I will give the matter a fair hearing.

Comments

No comments

Log in or join to post a public comment.