Written answers

Tuesday, 30 May 2017

Photo of Tommy BroughanTommy Broughan (Dublin Bay North, Independent)
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154. To ask the Minister for Finance the expected revenue that would be generated from the introduction of an aggregate levy of €2.50 per tonne on aggregates extracted from the ground such as rock, sand and gravel; and if he will make a statement on the matter. [25811/17]

Photo of Michael NoonanMichael Noonan (Limerick City, Fine Gael)
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It is inherently difficult to estimate the revenue the introduction of any new tax proposal would yield, however, the introduction of an aggregate levy was examined and presented in a paper to the Tax Strategy Group in 2015.  This paper, TSG15/06 Energy and Environmental Taxes and Vehicle Registration Tax, is available my Departments website.

At that time is was estimated that a levy of €2.50 per tonne could yield €79m per annum.  Should such a levy be introduced it would provide a financial incentive for increased recycling within the construction industry and which would reduce the potential revenue such a measure may yield.

Photo of Tommy BroughanTommy Broughan (Dublin Bay North, Independent)
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155. To ask the Minister for Finance the expected revenue yield that would result from an increase of five cent per litre in excise on diesel; and if he will make a statement on the matter. [25812/17]

Photo of Tommy BroughanTommy Broughan (Dublin Bay North, Independent)
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156. To ask the Minister for Finance the expected cost of using the diesel rebate scheme to offset the proposed five cent per litre increase in excise on diesel for commercial transport; and if he will make a statement on the matter. [25813/17]

Photo of Michael NoonanMichael Noonan (Limerick City, Fine Gael)
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I propose to take Questions Nos. 155 and 156 together.

I am informed by Revenue that the expected yield from an increase in Excise on diesel of five cents per litre is estimated at €123m, as indicated in the Ready Reckoner on the Revenue website: .

Section 99A of the Finance Act 1999 (inserted by Section 51 of the Finance Act 2013) provides for a repayment to qualifying road transport operators of part of the mineral oil tax paid on the auto-diesel purchased within the state for use in the course of business. The amount of the repayment varies in accordance with the average price at which auto-diesel is available for purchase during a repayment period with the repayment only kicking in when the price of a litre of diesel rises above €1.23 at the pumps.

I am advised by Revenue that it is tentatively estimated that the cost of using the diesel rebate scheme to offset a proposed five cents increase in Excise on diesel would be in the region of €20m assuming all of the five cent increase qualifies for the rebate.

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