Neasa Hourigan (Dublin Central, Green Party)
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228. To ask the Minister for Finance his plans to reassess the VAT rate for new electric vehicles, including new electric vehicles imported from the United Kingdom; and if he will make a statement on the matter. [6187/24]

Michael McGrath (Cork South Central, Fianna Fail)
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The VAT rating of goods and services is subject to the requirements of EU VAT law, with which Irish VAT law must comply. In general, the EU VAT Directive provides that all goods and services are liable to VAT at the standard rate, unless they fall within categories of goods and services specified in Annex III of the VAT Directive, in respect of which Member States may apply a lower rate of VAT.

Motor vehicles are not included in the categories of goods and services on which the EU Directive allows a lower rate of VAT or an exemption to be applied, and so they are liable to VAT at the standard rate, which in Ireland is currently 23%. There is no discretion under the Directive for Ireland to apply a reduced rate of VAT either to motor vehicles generally or to any particular group of them, such as new electric vehicles imported from the UK, about which the Deputy has asked.