Ciarán Lynch TD

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VAT on children's safety at 14.5% - VAT on thoroughbred racehorses 4.25%

Issued : Thursday 7 December, 2006

Councillor Ciaran Lynch has welcomed the reduction from 21 per cent VAT to 13.5 per cent VAT on car seats for children in this week’s Budget.

Cllr Lynch said: “This reduction is very welcome. I raised this issue back in September when car booster seats became compulsory for all children up to a particular height. It made no sense to me that parents were paying a higher rate of VAT for a compulsory safety item. It made more sense to make it as easy as possible for parents to follow the law. This was all the more ironic when you consider the VAT on thoroughbred race horses stood at 4.25 per cent.

“While the reduction is welcome there is still a fundamental problem that necessary safety appliances such as this for children are still under the VAT umbrella. It is my view that this item which applies for children should be given the same status as other children’s items such as shoes and clothes and being taken out of the VAT band entirely.”