S.I. No. 264/1980:

VALUE-ADDED TAX (REFUND OF TAX) (No. 14) ORDER, 1980.

VALUE-ADDED TAX (REFUND OF TAX) (No. 14) ORDER, 1980.

I, MICHEÁL Ó CINNÉIDE. Minister for Finance, in exercise of the powers conferred on me by section 20 (3) of the Value-Added Tax Act, 1972 (No. 22 of 1972), hereby order as follows:--

1. (1) This Order may be cited as the Value-Added Tax (Refund of Tax) (No. 14) Order, 1980.

(2) This Order shall be deemed to have come into operation on the 1st day of March, 1979.

2. In this Order "the Act" means the Value-Added Tax Act. 1972.

3. This Order applies to the following persons:

( a ) a body of persons in its capacity as a person operating a hospital;

( b ) a university, college, school or similar educational body in its capacity as a person operating a medical research laboratory;

( c ) a research institution in its capacity as a person operating a medical research laboratory.

4. A person to whom this Order applies who establishes to the satisfaction of the Revenue Commissioners that he has borne or paid tax at a rate in excess of the rate per cent for the time being specified in section 11 (1) (a) of the Act in relation to the supply to or importation by him of any instrument or appliance of a kind commonly used to make a diagnosis, to prevent or treat an illness, to carry out a surgical operation or to carry out scientific research and who fulfils to the satisfaction of the Revenue Commissioners the conditions which are specified in paragraph 5 of this Order shall be entitled to be repaid so much of such tax as is specified in paragraph 6 of this Order.

5. The conditions to be fulfilled by a person referred to in paragraph 4 of this Order are--

( a ) he shall claim a refund of the tax by completing such claim form as may be provided for the purpose by the Revenue Commissioners and he shall certify the particulars shown on such form to be correct;

( b ) he shall establish that he is a person to whom this Order applies and that the instruments or appliances on the supply or importation of which the tax was borne or paid by him were used by him in the capacity in relation to which this Order applies to him;

( c ) he shall establish, by the production of invoices, provided in accordance with section 17 (12) (a) (i) of the Act, or by the production of receipts for tax paid on imported goods, the amount of tax borne or paid by him in relation to the goods specified in paragraph 4 of this Order;

( d ) he shall establish that he is not entitled to a deduction under section 12 of the Act for any portion of the tax specified in subparagraph (c) of this paragraph.

6. The amount of tax to be repaid to the claimant shall be so much of the amount of tax specified in paragraph 5 (c) of this Order as the person shows to the satisfaction of the Revenue Commissioners to be in excess of the amount of tax which would have been borne or paid by him if the rate specified in section 11(1) (a) of the Act had applied to the supply or importation in question.

7. The Value-Added Tax (Refund of Tax) (No. 5) Order, 1973 ( S.I. No. 70 of 1973 ) is hereby revoked with effect as on and from the 1st day of March, 1979.

GIVEN under my Official Seal, this 14th day of August, 1980.

MICHEÁL Ó CINNÉIDE,

Minister for Finance.

EXPLANATORY NOTE.

Under the Value-Added Tax Act, 1972 , the low rate of VAT (10 per cent as at the date of Order) applies to medical, etc. appliances used solely in professional practice.

Since it is desirable that hospitals and universities, colleges and research institutions operating laboratories for medical, dental, surgical and veterinary research should not have to bear the higher rate of tax on medical and laboratory appliances and instruments, even where they are not of a kind used solely in professional practice but are commonly used by them, this Order provides, in such cases, for the refund of the VAT chargeable in excess of the low rate.

Prior to 1 March, 1979 this relief was provided by the Value-Added Tax (Refund of Tax) (No. 5) Order, 1973 as amended by the Value-Added Tax (Refund of Tax) (No. 6) Order, 1973.