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Dáil Éireann - Volume 300 - 12 October, 1977 Ceisteanna—Questions. Oral Answers. - Value-Added Tax. Dr. O'Connell Dr. O'Connell 21. Dr. O'Connell asked the Minister for Finance the total amount of VAT collected in each of the past four years; and the cost of collecting this in each of the same years. Mr. Colley Mr. Colley Mr. Colley: The amounts of VAT collected and the costs of collection in the last four years are as follows:
The figures of yield include small amounts of arrears of turnover and wholesale tax. Mr. B. Desmond Mr. B. Desmond 22. Mr. B. Desmond asked the Minister for Finance the cost to the Exchequer of the removal of VAT from provincial newspapers; and when the Government intend to do so. Mr. Colley Mr. Colley 144 Mr. Colley: The revenue yield from VAT on provincial newspapers is of the order of £400,000 a year. The removal of VAT from provincial newspapers would be attended by considerable technical and other difficulties and would also be affected by EEC constraints. If VAT were removed—and even if none of the benefit were passed on to the public—not all of the £400,000 would accrue to the benefit of the publishers of the newspapers [144] as some of it would go to the wholesalers and retailers in the chain of distribution. The Government is at present examining the representations made by provincial newspapers to determine the nature and extent of assistance that may be warranted for these newspapers. Mr. P. Barry Mr. P. Barry Mr. P. Barry: That means that VAT will not be removed from newspapers. Mr. Colley Mr. Colley Mr. Colley: It means that we are examining and will almost certainly take action to meet the requirements of the provincial newspapers—a thing which the Deputy and his colleagues consistently failed to do. Mr. E. Collins Mr. E. Collins Mr. E. Collins: May I take it that the EEC regulations forbid the Minister to take away VAT? Mr. Colley Mr. Colley Mr. Colley: I did not say that. I said that the removal of VAT from provincial newspapers would be attended by considerable technical and other difficulties and would also be affected by EEC constraints. Mr. E. Collins Mr. E. Collins Mr. E. Collins: In what way would it be affected by EEC constraints? Mr. Colley Mr. Colley Mr. Colley: We would not be allowed to remove VAT completely. Mr. E. Collins Mr. E. Collins Mr. E. Collins: Does the Minister intend to reduce VAT on provincial newspapers? Mr. Colley Mr. Colley Mr. Colley: I know it is not in order to repeat myself but in case the Deputy did not hear me I said that we are examining, and will I hope, fairly shortly, implement arrangements which will meet the requirements of the provincial newspapers. Mr. Collins Mr. Collins Mr. Collins: I heard quite perfectly. Will VAT on provincial newspapers be reduced? Mr. Colley Mr. Colley Mr. Colley: I have already replied to the question as fully as I can. Mr. B. Desmond Mr. B. Desmond Mr. B. Desmond: How can the Minister reconcile his reply with the categorical assurances given by him and the Taoiseach to the provincial newspaper proprietors that VAT would be abolished in relation to provincial newspapers? Mr. Colley Mr. Colley 145 [145] Mr. Colley: I am afraid the Deputy is engaging in his usual arm-chancing. Could the Deputy indicate to the House one reference that would justify the false assertion he has just made? Mr. B. Desmond Mr. B. Desmond Mr. B. Desmond: How can the Minister reconcile his reply with the assurances given? Mr. Colley Mr. Colley Mr. Colley: We did not give such assurances. Mr. B. Desmond Mr. B. Desmond Mr. B. Desmond: The Minister is more than aware of the absolute assurances given by him and the Taoiseach at private meetings in provincial towns. The Taoiseach Jack Lynch The Taoiseach: That is a complete and utter falsehood. It is an assertion that the Deputy ought not to make without proof. I never had private meetings with the Provincial Newspapers' Association in any town. Mr. Colley Mr. Colley Mr. Colley: I challenge the Deputy if he expects anyone to believe one word which he has said to produce one scintilla of evidence in support of his allegation. An Ceann Comhairle Joseph Brennan An Ceann Comhairle: Question No. 23. Dáil Éireann 300 Ceisteanna—Questions. Oral Answers. Value-Added Tax. Questions 19771012
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