Ruairi Quinn (Dublin South East, Labour)
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Question 195: To ask the Minister for Finance if his attention has been drawn to the representations from persons in receipt of a State disability payment expressing concern at the impact that VAT charges have on equipment and support services which they must purchase due to their disability; if he will put a system in place whereby the VAT on such equipment and utility charges such as the ESB be refunded having regard to the low level of weekly income to which they are entitled; and if he will make a statement on the matter. [15605/06]

Brian Cowen (Laois-Offaly, Fianna Fail)
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In the case of persons suffering from disability, a special provision for relief is available under the Value Added Tax (Refund of Tax)(No. 15) Order 1981. This allows the refund of VAT paid on certain aids, appliances and medical devices which are purchased for the exclusive use of disabled persons suffering a specified degree of disablement. In order to determine whether a particular purchase qualifies for a refund of VAT, applicants should contact the Revenue Commissioners, VAT Repayments (Unregistered Section), Kilrush Road, Ennis, County Clare.

For utility charges, the social welfare household benefits package is provided, subject to household and income conditions, to people in receipt of a social welfare disability income payment. The package comprises an electricity or gas allowance, a telephone allowance and a free lifetime TV licence. Up to 1,800 units of electricity per annum and normal standing charges are covered by the electricity allowance. The annual value of the electricity allowance is €260, inclusive of VAT at 13.5%. The gas allowance is an alternative to the electricity allowance if a customer's home is connected to a natural gas supply. Here, the customer is entitled to the supply charge and up to 1,674 kW hours of gas per year. The annual value of the gas allowance is €313, inclusive of VAT at 13.5%. The telephone allowance is applied to a customer's account as a fixed credit which amounts to €296.35 per annum, inclusive of VAT at 21%.

Relief also exists within the income tax code in respect of qualifying health expenses incurred in the provision of health care for an individual and-or his or her dependants. The relief consists of a deduction from total income for the tax year in which the expenses are incurred in respect of qualifying health expenses in excess of €125 in the case of one individual, or in excess of €250 in the case where the expenses are incurred for two or more individuals. Qualifying health expenses include expenses representing the services of doctors and dentists, diagnostic procedures carried out on the advice of a doctor, maintenance or treatment in a hospital, drugs or medicines prescribed on the advice of a doctor and the supply, maintenance or repair of any medical, surgical, dental or nursing appliance used on the advice of a doctor or dentist.