Seanad debates

Wednesday, 6 November 2024

Finance Bill 2024: Committee and Remaining Stages

 

10:30 am

Photo of Neale RichmondNeale Richmond (Dublin Rathdown, Fine Gael) | Oireachtas source

I will briefly mention two things in a potentially less negative response than usual but couched in the fact that, ultimately, we will not be accepting this recommendation. Obviously, those of with young children know that Isofix is often an influence in getting a larger car, unfortunately, for many of us.

A weight-based tax was discussed as part of this year’s tax strategy group paper on energy and vehicle taxation. The example of France, as cited by the Senator, as well as Norway, were looked at in this context. We know that heavier petrol and diesel vehicles generally pay more because they pollute more but the vast majority moving to hybrids and EVs going forward equate that. That is why it is estimated that an alternative means of taxation will be required to replace the revenue stream going forward and in this and other contexts, a vehicle weight tax is not an unreasonable future tax model. However, the Department believes that this is a matter for the next government and, possibly, the people of Ireland to consider.

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