Dáil Éireann Debate, Thursday - 25 June 2026
44. Deputy Joe Cooney asked the Tánaiste and Minister for Finance if he will consider waiving VAT from rebuilds under the defective concrete block remediation scheme; to outline any mechanism available to him to compensate homeowners for the VAT portion of the costs incurred; and if he will make a statement on the matter. [48246/26]
Amharc ar fhreagraThe VAT rating of goods and services is subject to EU VAT law, with which Irish VAT law is obliged to comply. In general, the VAT Directive provides that all goods and services are liable to VAT at the standard rate unless they fall within the categories listed in Annex III of the Directive, in respect of which Member States may apply a lower rate. The Directive also allows for a Member State’s historic VAT treatment to be maintained under certain strict conditions.
On this basis, Ireland has for many years continued to apply its reduced rate, currently 13.5 per cent, to all construction services.
It is not possible under EU VAT law to waive VAT in relation to rebuilds under the defective concrete block remediation scheme. It is also not possible to provide a VAT rebate for this portion of cost.
As the Deputy will be aware, when first introduced the defective concrete block remediation scheme specified a maximum grant amount of €420,000 that a homeowner can receive under the Scheme. This amount was increased by Government Order in October 2024 (S.I. 577 of 2024) by 10 per cent to €462,000.
