Wednesday, 6 October 2021
Department of Finance
18. To ask the Minister for Finance his views on the call made by an organisation (details supplied) for the design of a special relief on carbon tax in order that relevant good producers can continue to increase sustainable production and consumption of Irish grown products on the domestic market in line with the Food Vision 2030 Strategy. [48434/21]
Mineral Oil Tax (MOT) applies to minerals oils used for motor or heating purposes in the State. The rate of MOT is comprised of a carbon and non-carbon component.
I am advised by Revenue that Section 98 of Finance Act 1999 provides for a partial relief for MOT for heavy oil and liquefied petroleum gas (LPG) used in horticultural production and the cultivation of mushrooms. Heavy oil refers to diesel, kerosene, and fuel oil, and LPG is defined in MOT legislation as “petroleum gases and other gaseous hydrocarbons falling within CN Codes 2711 12 11 to 2711 19 00”. The relief is operated by way of repayment only. The repayment amount is the difference between the MOT paid and the predetermined rate set out in section 98 for heavy oil/LPG. More information on the operation of the relief is also available on .
With regard to carbon tax and Budget 2022, as the Deputy will be aware, it is a longstanding practice of the Minister for Finance not to comment, in advance of the Budget, on any tax matters that might be the subject of Budget decisions.
The Deputy will also be aware that there are support schemes and investment aid available to horticultural producers from the Department of Agriculture, Food and the Marine and Bord Bia.Full details are available at the website addresses below.