Declan Breathnach (Louth, Fianna Fail)
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22. To ask the Minister for Finance his views on a rebate of value added tax on authorised works associated with protected structures. [11546/16]

Michael Noonan (Limerick City, Fine Gael)
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The VAT treatment of goods and services is subject to the requirements of EU VAT law (primarily Council Directive 2006/112/EC) with which Irish VAT law must comply. Under the VAT Directive, construction services are liable to VAT and no exemptions are permitted, whether for specified purposes or otherwise.  

In order to maintain the integrity of the VAT system Ireland has not introduced any new VAT refund orders since the 1980s and any changes to VAT refunds since then have been either by EU requirement or making minor changes to existing refund orders. The scope of such a scheme could prove to be very wide and there would be considerable risk of abuse as well as significant administrative costs.

However, where a protected structure is used for the purposes of making supplies that are liable to VAT, the trader can recover the VAT borne in respect of works on such a structure, provided he or she is registered for VAT.