Politics

Dundalk election candidate welcomes postponed accounting for VAT post Brexit

VAT will not have to be paid at the point of import into Ireland in the event of a no deal Brexit

Donard McCabe

Reporter:

Donard McCabe

Dundalk election candidate welcomes postponed accounting for VAT post Brexit

Fine Gael candidate Roisin Duffy with Tánaiste Simon Coveney at a Fine Gael talk on Brexit in January 2017

Local election candidate Roisin Duffy has given a warm welcome to the announcement that the Government will introduce a system of postponed accounting for VAT for all traders for a period after Brexit.

The Fine Gael candidate for the Dundalk Carlingford area said:

“I outlined the concerns of local businesses to Deputy Fergus O’Dowd that  in the event of a no deal Brexit Irish VAT would become immediately payable by Irish businesses at the point of import on business purchases from Northern Ireland and the UK.

“Deputy O’Dowd lodged a parliamentary question on the matter in December 2018 outlining the detrimental effect this would have on cashflow for those businesses who rely on the supply of raw materials and goods for resale from Northern Ireland and the UK.

“Minister Donohoe took the concerns on board and has now announced that VAT will not have to be paid at the point of import into Ireland in the event of a no deal Brexit.

“This will mean that businesses will experience the cashflow benefit of not having to pay VAT when they purchase their business supplies from Northern Ireland and the UK.This is especially of importance to all the businesses in the border area who due to their proximity to the border  import raw materials and goods for resale from Northern Ireland and the UK ”.

She referred to Minister Heather Humphrey's Brexit review meeting of the Retail Forum last week, where she outlined the range of Government supports businesses can avail of.

Ms Duffy said “I would recommend that all businesses, no matter how big or small, should start to plan for a no deal Brexit and if you have not yet started to plan you should contact your Local Enterprise Office who will help point you in the right direction”.