Dominic Hannigan (Meath East, Labour)
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Question 50: To ask the Minister for Finance his plans to reduce the VAT charged on school ebooks; and if he will make a statement on the matter. [32637/11]

Michael Noonan (Limerick City, Fine Gael)
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I am advised by the Revenue Commissioners that the VAT rating of goods and services is subject to the requirements of EU VAT law with which Irish VAT law must comply. The general position is that school books are zero-rated. The zero rate applies to printed books, including atlases, children's picture, drawing and colouring books and books of music. All digitised publications, regardless of their rate when printed (for example, a book liable at zero rate), are treated as the supply of a service liable at the standard rate of VAT, currently 21%. E-books, online newspaper subscriptions and online information services purchased via download over the Internet are also considered the supply of services liable for VAT at the standard rate. The EU position is that digital information services are not the direct equivalent of traditional printed products, including books. Even where the content is similar, the additional functionality (e.g. search facilities, hyperlinks, archives, etc) associated with electronic content produces a fundamentally different product.