Carol Nolan (Laois-Offaly, Independent)
Link to this: Individually | In context | Oireachtas source

235. To ask the Minister for Finance to confirm that the VAT applicable to an NCT test and retest is 23%; if he can reduce this VAT rate, and if he will do so; and if he will make a statement on the matter. [42669/24]

Jack Chambers (Dublin West, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

I confirm that the National Car Testing (NCT) service and retesting service are liable to VAT at the standard rate, currently 23%.

I am advised by Revenue that the VAT rating of goods and services is subject to EU VAT law, with which Irish VAT law must comply. In general, the VAT Directive provides that all goods and services are liable to VAT at the standard rate unless they are exempt from VAT or fall within Annex III of the Directive, in which case lower VAT rates may apply subject to certain rules.

NCT test and retest services do not come within the services listed in Annex III, so the Directive requires that Member States apply the standard rate of VAT to such supplies. There is no discretion to apply a lower rate of VAT to the services in question.

Seán Fleming (Laois-Offaly, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

236. To ask the Minister for Finance if the first-time buyer's grant received in respect of housing is subject to taxation; if so, what levels of taxation; and if he will make a statement on the matter. [42676/24]

Jack Chambers (Dublin West, Fianna Fail)
Link to this: Individually | In context | Oireachtas source

The Help to Buy (HTB) incentive is a scheme to assist first-time purchasers with the deposit they need to buy or build a new house or apartment. The incentive gives a refund on Income Tax and Deposit Interest Retention Tax paid in the State over the previous four years, subject to limits outlined in the legislation.

The HTB is a tax relief and not a grant, as such it is not taxable.