The Defective Concrete Products Levy (DCPL) applies to the ‘first supply’ of certain concrete products on or after 1 September 2023. The levy is chargeable on the open market value of the concrete products that are within the scope of the levy, on the date of their first supply. The person who makes a first supply of a concrete product which is within scope of the DCPL is the chargeable person in respect of the levy. Revenue has updated the Tax and Duty Manual regarding the DCPL to provide for a simplification measure in certain circumstances.
For the purposes of determining the levy due in respect of a supply of ready to pour concrete where the price includes related delivery and haulage costs, the chargeable person may apply a fixed average percentage rate to calculate the portion of the cost which relates to delivery and haulage which is not subject to the levy. The percentage applied to the haulage and delivery costs may not, in general, exceed 25 percent of the overall cost.
The chargeable person must maintain evidence for the basis of the cost apportionment between the ready to pour concrete product and the related haulage and delivery costs.