Jimmy Harte (Labour) | Oireachtas source

I ask the Leader to arrange a debate on an issue I raised recently regarding a provision within the insolvency legislation, whereby VAT will be charged for the service. The Minister might come into the Chamber to clarify this point because I have investigated the issue and found the same situation arose in the United Kingdom. The position there was challenged and VAT is not now charged in the United Kingdom on the provision of the same type of service. Many couples and families who engage with the personal insolvency system will be hit with a 23% VAT charge on the cost and while one is told this will be borne by the banks, in effect such costs will be borne by the client. Consequently, I ask the Minister to consider this point and I will forward to him the legislation from the United Kingdom that overturned the tax authorities' interpretation of it. However, the Minister or the Minister of State should come into the House to explain the reason VAT is being charged here for a service, whereas it is not being charged in the United Kingdom for an identical system.

Second, on the property tax, if the Opposition read the legislation everyone knew it contained the 15% provision. It was not a story released on a bank holiday Monday.