Written answers

Tuesday, 24 May 2022

Department of Transport, Tourism and Sport

Tax Data

Photo of Darren O'RourkeDarren O'Rourke (Meath East, Sinn Fein)
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137. To ask the Minister for Transport, Tourism and Sport the percentage of all motor tax payments that were paid in instalments versus those which were paid upfront in full; the amount that is raised from the higher rates of motor tax for those that choose to pay in three and six-month instalments; and if he will make a statement on the matter. [25850/22]

Photo of Hildegarde NaughtonHildegarde Naughton (Galway West, Fine Gael)
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Motor tax can be paid on an annual, half-yearly or quarterly basis. The rate for the half-yearly option is 55.5% of the annual rate, and, for the quarterly option, 28.25% of the annual rate.

The number of discs issued in 2021 and the associated receipts (excluding arrears of motor tax) are as follows:

Number of discs issued Percentage of discs issued Receipts (€)
Annual 2,047,431 42.9 519,759,241
Half-yearly 702,130 14.8 127,449,601
Quarterly 2,021,116 42.3 213,390,780
Total 4,770,677 100 860,599,622

The loss of income that would arise from equalising rates for the non-annual options would have a negative impact on motor tax revenue and would have to be borne elsewhere in the motor tax system or in the taxation system generally. The potential loss to the Exchequer has been estimated at just over €37 m, based on the volume of transactions in 2021.

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