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FF leader’s first-time home buyer VAT proposal collapses before it even reaches the first hurdle – Brophy

10th November 2019 - Colm Brophy TD

THE proposal by Fianna Fáil leader Micheál Martin to reduce VAT on first-time homes has collapsed before it even got to the first hurdle as such a move would be illegal, a Fine Gael TD has said.


Last week, Deputy Martin, in a newspaper interview, put forward the proposal to reduce VAT for first time home buyers.


Intrigued, Deputy Colm Brophy, a Dublin South West TD, asked the Finance Minister if rules apply selectively under European Union VAT to a reduction on the rate of VAT to specific categories of house purchases, namely those bought by first-time buyers.


Minister Paschal Donohoe said, via a parliamentary question, “I am advised by the Revenue Commissioners that the VAT rating of goods and services is subject to EU VAT law, with which Irish VAT law must comply. Under the Directive it is not permissible to differentiate the supply of new residential property for different buyers, such as first-time buyers, for the purpose of applying VAT rates.”


Deputy Brophy said the latest call by Micheál Martin is reckless and ridiculous.


“What the Fianna Fáil leader called for regarding VAT for first time buyers for is simply illegal. How can he not know this? The man was a Government Minister for 14 years. A simple query would have established this as opposed to flinging it out to the country.


“This is further clear proof that Fianna Fáil, under the guidance of Deputy Martin, cannot put forward concrete thought out policies or plans that would benefit the country. Fianna Fáil representatives publicly call for ill-thought, wild and fantasy proposals that can’t even stand up to the first examination,” Deputy Brophy said.


“Fianna Fáil and their leader are simply making up suggestions as they go along. The whole notion would be laughable but only for the fact he is trying to put himself forward as our next Taoiseach.


“This is even further concrete proof that Fianna Fáil has no plan for the country. Fianna Fáil have made the next election contingent on Brexit so the public deserves to know how would Deputy Martin’s party tackle some of the biggest issues.


“Just five of Fianna Fáil’s 22 frontbench spokespeople have offered up proposals since the minority Government came together in mid-2016. Instead of coming up with detailed credible policies which could be viable, Fianna Fáil deflect and point towards ill prepared individual members bills and press releases,” Deputy Brophy said.


“Fianna Fáil are reckless. They have no plan, no team and no solutions. What would they do in terms of major pressures on the country? We haven’t a clue and neither do they,” he added.



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