Written answers

Wednesday, 20 April 2016

Department of Finance

VAT Rate Application

Photo of Brendan GriffinBrendan Griffin (Kerry, Fine Gael)
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105. To ask the Minister for Finance if he will take action to scrap value added tax payable on defibrillators, or the automated external defibrillator, in recognition of the life-saving potential of such pieces of equipment, for which many community groups are struggling to fund-raise to purchase; and if he will make a statement on the matter. [7591/16]

Photo of Michael NoonanMichael Noonan (Limerick City, Fine Gael)
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The VAT rating of goods and services is constrained by the requirements of EU VAT law with which Irish VAT law must comply. Defibrillators, other than implantable defibrillators, are liable to VAT at the standard rate, currently 23%. Parts or accessories and training are also liable to VAT at the standard rate. 

There is no provision in VAT law that would make it possible to apply a reduced rate or zero rate to the supply of such products. Under the EU VAT Directive, Member States may retain the zero rate on goods and services which were in place on 1 January 1991, but cannot extend the zero rate to new goods and services. In addition, Member States may only apply a reduced VAT rate to those goods and services which are listed under Annex III of the VAT Directive. While Annex III does include the supply of medical equipment for the exclusive personal use of a disabled person, it does not include defibrillators for general use. In this regard, a reduced rate cannot be applied to the supply of defibrillators. Therefore the only rate that can apply to the supply of defibrillators and their accessories is the standard VAT rate of 23%.

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