The Report Stage amendments proposed by the Minister for Finance were passed in the Dail this week, and the Bill is moving to the Seanad.
As reported last week, the main amendments concern:
- Mid Shannon Tourism Infrastructure Scheme: The qualifying period is extended by two years, from 31 May 2013 to 31 May 2015, subject to a commencement order by the Minister for Finance.
- VAT for Local Authorities and Public Bodies: A recent ECJ case obliged Ireland to oblige its local authorities to be accountable persons but the Report Stage amendment ensures that some services only will be thus affected.
- VAT on Greenhouse Gas Emission allowances - these will be treated in certain circumstances under the reverse charge rules.
Normally when the Bill passes Report Stage, for Constitutional reasons that's it done and dusted, as if it were the final version of the Act. However this year the Minister has signalled he is making a further amendment at Committee Stage in the Seanad to provide for a review of tax expenditures in the Bill, as sought by the Opposition.
This review will be fairly limited - as the Minister pointed out "The amendment in its expressed terms is limited to the preparation of a report on a cost-benefit analysis of 'tax expenditures provided for by this Act', setting out the costs of tax foregone and the benefits in terms of job creation or otherwise. It is worth noting, that it is 'tax expenditures provided for by this Act', not tax expenditures provided for more generally in previous financial legislation."