S.I. No. 57/1979:

IMPOSITION OF DUTIES (NO. 236) (EXCISE DUTIES ON MOTOR VEHICLES, TELEVISIONS AND GRAMOPHONE RECORDS) ORDER, 1979.

IMPOSITION OF DUTIES (NO. 236) (EXCISE DUTIES ON MOTOR VEHICLES, TELEVISIONS AND GRAMOPHONE RECORDS) ORDER, 1979.

The Government, in exercise of the powers conferred on them by section 1 of the Imposition of Duties Act, 1957 (No. 7 of 1957), section 22 of the Finance Act, 1962 (No. 15 of 1962), section 46 of the Finance Act, 1975 (No. 6 of 1975) and section 29 of the Value-Added Tax (Amendment) Act, 1978 (No. 34 of 1978) hereby order as follows:

1. This Order may be cited as the Imposition of Duties (No. 236) (Excise Duties on Motor Vehicles, Televisions and Gramophone Records) Order, 1979.

2. This Order shall come into operation on the 1st day of March, 1979.

3. ( a ) In this Order, except where the context otherwise requires--

"category A motor vehicles" means motor vehicles, excluding ambulances and hearses, which are designed, constructed or adapted for the carriage of not more than sixteen persons (inclusive of the driver), including such vehicles designed constructed or adapted for the carriage of both passengers and goods or materials and which are of not more than 3 tons unladen weight and have, to the rear of the driver's seat, roofed accommodation which is titled with side windows or which is constructed or adapted for the fitting of side windows;

"category B motor vehicles" means all motor vehicles not included in Category A;

"dutiable goods" means motor vehicles, televisions and gramophone records;

"gramophone record" means a record suitable for playing on a gramophone, record player or similar instrument but does not include an intermediate form of recording, such as a disc, matrix or the like for the production of a gramophone record;

"licensed manufacturer" means a manufacturer who is the holder of a licence, for the time being in force, under paragraph 17 of this Order;

"manufacture" means the making or assembling in the State of dutiable goods and includes the modification or conversion of category B motor vehicles in such a manner as to make them category A motor vehicles and of motor vehicles referred to in paragraph 4 (4) of this Order in such a manner as to make them category A motor vehicles or category B motor vehicles and cognate words shall be construed accordingly;

"motor vehicle" means any complete or substantially complete wheeled vehicle propelled by an engine and includes a chassis of a category B motor vehicle fitted with an engine;

"television" means a television receiver (whether or not coin-operated) in a complete or substantially complete state of the domestic or portable type or of a type suitable for use in motor vehicles, whether or not incorporated in or combined with other articles, not being motor vehicles liable to the duty of excise imposed by paragraph 4 of this Order.

( b ) For the purposes of this Order delivery of goods shall be considered to have taken place when they are sent out, on or for sale or otherwise, from a premises of a manufacturer, or are otherwise removed from such premises.

( c ) References in this Order to provisions of the Value-Added Tax Act, 1972 (No. 22 of 1972), are to provisions thereof in force immediately prior to the 1st day of March, 1979.

4. (1) In addition to any other duty which may be chargeable and subject to the provisions of this Order and regulations made by virtue of paragraph 21 (2) thereof, there shall be charged, levied and paid, on motor vehicles delivered in the State, or imported into the State, on or after the 1st day of March, 1979, a duty of excise at the rates set out in subparagraph (3) of this paragraph.

(2) In the case of a category A motor vehicle on which, in a former state, the duty imposed by this paragraph has been paid at the rate applicable to category B motor vehicles, the amount of the duty payable under this paragraph shall be reduced by the amount of duty so paid.

(3) The rates of the duty imposed by this paragraph shall be--

( a ) in the case of category A motor vehicles, an amount equal to 35 per cent. of the chargeable value.

( b ) in the case of category B motor vehicles, an amount equal to 11.5 per cent. of the chargeable value.

(4) The duty of excise imposed by this paragraph shall not be charged on motor vehicles which, in the opinion of the Revenue Commissioners, are designed and constructed primarily for off-road use (except for racing vehicles, scrambling vehicles and other sporting vehicles), agricultural tractors, two-wheeled tractors, fire-engines, fire-escapes, road sweepers, invalid carriages or armoured fighting vehicles.

5. (1) In addition to any other duty which may be chargeable and subject to the provisions of this Order and regulations made by virtue of paragraph 21 (2) thereof, there shall be charged, levied and paid on televisions and gramophone records delivered in the State, or imported into the State, on or after the 1st day of March, 1979, a duty of excise at the rates set out in subparagraph (2) of this paragraph.

(2) The rates of the duty imposed by this paragraph shall be--

( a ) in the case of televisions the several rates specified in the Table to this subparagraph.

TABLE

( b ) in the case of gramophone records, an amount equal to 30 per cent. of the chargeable value.

(3) In this paragraph "screen" means that portion of a television tube on which the television image is viewed when the television is in use and the maximum dimension is to be taken as the distance measured across the surface of the screen vertically, horizontally or diagonally whichever is the greatest.

6. A manufacturer shall be liable for payment of the duties imposed by paragraphs 4 and 5 of this Order, where chargeable, in respect of dutiable goods delivered from his premises.

7. The duty imposed by paragraphs 4 or 5 of this Order, as may be appropriate, shall also be charged, levied and paid in accordance with the provisions of this Order and regulations made by virtue of paragraph 21 (2) thereof on--

( a ) dutiable goods which were delivered before the 1st day of March, 1979, but where not delivered within the meaning of section 3 of the Value-Added Tax Act, 1972 , before that date, and

( b ) dutiable goods which had been delivered in accordance with section 2 (1) (a) of the Value-Added Tax Act, 1972 , before the 1st day of March, 1979, and in respect of which an invoice under section 17 (1) of that Act was required to be issued but had not been issued before that date.

8. The Revenue Commissioners may, subject to compliance with such conditions for securing payment of the duties as they may think fit to impose, permit payment of the duties imposed by paragraphs 4 and 5 of this Order to be deferred to a day not later than the last day of the month following that in which the said duties are charged.

9. (1) The Revenue Commissioners may, subject to compliance with such conditions as they may think fit to impose, remit or repay the duties imposed by paragraphs 4 and 5 of this Order on goods--

( a ) that are exported under arrangements approved of by them,

( b ) that are returned to the manufacturer or importer thereof without having been used and are subsequently redelivered, exported or destroyed, under arrangements approved of by them,

( c ) that are imported by or on behalf of, or are delivered to, a licensed manufacturer of goods of the class to which the dutiable goods belong for use by him solely for experimental, research or quality control purposes.

(2) The Revenue Commissioners may, subject to compliance with such conditions as they may think fit to impose, allow dutiable goods to be imported without payment of the duties imposed by paragraphs 4 and 5 of this Order where it is shown to their satisfaction that the said goods have previously borne either of the said duties and have been exported without repayment of duty and are being imported without having undergone any process of further manufacture or improvement.

(3) The Revenue Commissioners may, subject to compliance with such conditions as they may think fit to impose, allow goods chargeable with the duties imposed by paragraph 4 or 5 of this Order to be delivered from a licensed manufacturer of goods of the class to which the said goods belong to another such licensed manufacturer for the purposes of further manufacture or processing or for subsequent exportation or destruction, without the said duties being charged.

(4) The Revenue Commissioners may, subject to compliance with such conditions as they may think fit to impose, allow motor vehicles chargeable with the duty imposed by paragraph 4 of this Order to be delivered temporarily, or to be removed temporarily from warehouse, without payment of the said duty for display or exhibition.

10. The Revenue Commissioners may, subject to compliance with such conditions as they may think fit to impose, allow a licensed manufacturer who makes or assembles motor vehicles to import motor vehicles intended for subsequent delivery without the duty imposed by paragraph 4 of this Order being charged at the time of importation where they are satisfied that the duty will be paid upon such delivery.

11. Subject to such conditions as they may think fit to impose, the Revenue Commissioners may, if they see fit, permit dutiable goods to be warehoused.

12. Whenever the Minister for Finance so thinks proper, the Revenue Commissioners may, subject to such conditions as they may think fit to impose, authorise any person to take delivery of or import goods to which the duty of excise imposed by paragraph 4 of this Order applies either without payment of the said duty or on payment of the duty at less than the rate ordinarily chargeable or, where the said duty has been paid, to repay the duty in whole or in part.

13. The Revenue Commissioners may, subject to such conditions as they may think fit to impose, allow a licensed manufacturer to import or take delivery of--

( a ) motor vehicle parts and accessories liable to the duty of excise imposed by paragraph 14 of the Imposition of Duties (No. 221) (Excise Duties) Order, 1975 ( S.I. No. 307 of 1975 ),

( b ) tyres liable to the duty of excise imposed by paragraph 15 of the said Order, and

( c ) tyres liable to the duty of excise imposed by paragraph 6 of the Emergency Imposition of Duties (No. 66) Order, 1935 (S.R. and O., No. 81 of 1935),

without the said duties being paid, for the purposes of manufacture of motor vehicle liable to the duty of excise imposed by paragraph 4 of this Order.

14. Subject to such conditions as they may think fit to impose, the Revenue Commissioners may allow a person to import tyres without payment of the duty of excise imposed by paragraph 15 of the Imposition of Duties (No. 221) (Excise Duties) Order, 1975 ( S.I. No. 307 of 1975 ), for supply by him to a licensed manufacturer for the purposes of manufacture of motor vehicles liable to the duty imposed by paragraph 4 of this Order.

15. (1) Where a complete or substantially complete aggregate of parts from which a motor vehicle may be manufactured is imported by a person other than a licensed manufacturer of motor vehicles, the said aggregate shall be considered to be a motor vehicle within the meaning of this Order and shall, on importation, be liable to the duty imposed by paragraph 4 of this Order.

(2) The duty imposed by paragraph 4 of this Order shall not be charged on the delivery of a motor vehicle manufactured from a complete aggregate of parts to which subparagraph (1) of this paragraph applies except where the rate of duty applicable on delivery of the motor vehicle is higher than the rate applicable to the category of motor vehicles to which the said motor vehicle belonged on importation, in which case an amount of duty equal to the difference between the amounts payable at the said rates shall be chargeable on delivery of the motor vehicle.

16. Where a complete or substantially complete aggregate of parts from which a motor vehicle may be manufactured is imported by and is used, in whole or in part, by a licensed manufacturer otherwise than for the manufacture of a motor vehicle, the said aggregate shall be considered to be a motor vehicle which has been delivered within the meaning of this Order at the time of such use and liable to the duty imposed by paragraph 4 of this Order.

17. (1) No person, other than a manufacturer of a quantity of dutiable goods less than the appropriate quantity specified in subparagraph (2) of this paragraph, shall manufacture unless he is the holder of a licence issued under this paragraph.

(2) Each manufacturer who, in any year--

( a ) in the case of motor vehicles, intends to manufacture 3 or more motor vehicles other than motor vehicles on which the duty imposed by paragraph 4 of this Order is not chargeable by virtue of subparagraph (4) of that paragraph,

( b ) in the case of televisions intends to manufacture 10 or more televisions,

( c ) in the case of gramophone records, intends to manufacture 100 or more gramophone records,

may apply in writing to the Revenue Commissioners for a licence to so manufacture and, if he so applies, shall furnish to the Commissioners such information as they may require in relation to the application and the Commissioners shall, upon compliance by the person with any such requirements, thereupon, grant a licence to the manufacturer authorising the manufacture by him of the dutiable goods specified in the licence.

(3) Licences under this paragraph shall expire on the 31st day of December, in each year.

(4) A licence under this paragraph shall be in such form as the Revenue Commissioners may approve.

18. Where a deficiency occurs on the premises of a manufacturer in the quantity of materials received by him for use in the manufacture of dutiable goods--

( a ) in case the Revenue Commissioners are of the opinion that the materials representing the deficiency, either by themselves or in combination with other materials, might reasonably be expected to have been manufactured into dutiable goods, duty at the appropriate rate or rates imposed by paragraph 4 or 5 of this Order, as the case may be, shall be paid forthwith by such manufacturer on such dutiable goods, or

( b ) in any other case, any excise duty which may be chargeable on the materials, as such, representing the said deficiency shall be paid forthwith by such manufacturer at the appropriate rate or rates applicable to such materials.

19. (1) For the purpose of charging the duty imposed by paragraph 4 of this Order, the chargeable value of a motor vehicle shall be the open market selling price of the vehicle at the time of the charging of the duty thereon.

(2) In this paragraph--

"open market selling price" means the price, excluding value-added tax and excise duty, which, in the opinion of the Revenue Commissioners, a motor vehicle (including any accessories fitted or attached thereto or sold therewith) might reasonably be expected to fetch on a first arm's length sale thereof after manufacture or importation in the open market in the State to a dealer;

"dealer" means a person who sells motor vehicles wholly or mainly to persons other than persons who sell such vehicles in the course of business.

(3) Where a category B motor vehicle, the primary purpose of which is not the transport of persons, goods or materials or the hauling or pushing of another vehicle, appliance or load, has fitted or attached thereto any special device or equipment which is directly concerned with the primary purpose of the vehicle, such device or equipment shall not be taken into account in determining the chargeable value of the motor vehicle.

(4) Where a motor vehicle in a substantially complete state is liable to the duty imposed by paragraph 4 of this Order on importation or delivery, the chargeable value of the vehicle shall be taken to be the vehicle's chargeable value determined as if it were imported or delivered in a complete state, having regard to the parts that remain to be provided and the processes that remain to be undergone for the vehicle to be a finished and complete vehicle.

20. (1) For the purpose of charging the duty imposed by paragraph 5 of this Order, the chargeable value of gramophone records shall be--

( a ) in case they are imported, their value determined in accordance with the acts for the time being in force adopted by institutions of the European Communities relating to the valuation of goods for customs purposes modified by the substitution of references to the territory of the State for references to the customs territory of the Community, and

( b ) in any other case, the manufacturer's ex-factory price of the gramophone records at the time of delivery.

(2) In this paragraph "ex-factory price" means the price excluding value-added tax and excise duty which, in the opinion of the Revenue Commissioners, a manufacturer might reasonably be expected to receive for sale of the goods in question when they leave the factory.

21. (1) In this paragraph "the Act of 1977" means the Finance (Excise Duty on Tobacco Products) Act, 1977 (S.I. 32 of 1977).

(2) Section 8 (1) of the Act of 1977 shall apply in relation to the duties imposed by paragraphs 4 and 5 of this Order with the modifications that "Imposition of Duties (No. 236) (Excise Duties on Motor Vehicles, Television and Gramophone Records) Order, 1979" shall be substituted for "this Act".

(3) Section 10 (4) of the Act of 1977 shall apply in relation to the duties imposed by paragraphs 4 and 5 of this Order with the following modifications:

( a ) "goods chargeable with either of the duties imposed by paragraphs 4 and 5 of the Imposition of Duties (No. 236) (Excise Duties on Motor Vehicles, Televisions and Gramophone Records) Order, 1979" shall be substituted for "tobacco products" where it firstly occurs,

( b ) "or on which dutiable goods, or books or other documents relating to the manufacture or storage of dutiable goods, are reasonably believed by such officer to be stored or kept" shall be inserted after "to be carried on",

( c ) "and take such samples of materials, tobacco products and partially manufactured tobacco products" shall be deleted, and

( d ) "dutiable goods" shall be substituted for "tobocco products" where it lastly occurs.

(4) Section 10 (5) of the Act of 1977 shall apply in relation to the duties imposed by paragraphs 4 and 5 of this Order with the modification that ", as applied by the Imposition of Duties (No. 236) (Excise Duties on Motor Vehicles, Televisions and Gramophone Records) Order, 1979," shall be inserted after "this section".

(5) Section 11 of the Act of 1977 shall apply in relation to the duties imposed by paragraphs 4 and 5 of this Order with the modification that "the Imposition of Duties (No. 236) (Excise Duties on Motor Vehicles, Televisions and Gramophone Records) Order, 1979, or of regulations under section 8 of this Act as applied by that Order" shall be substituted for "this Act (other than section 6) or of regulations under section 8 of this Act".

(6) Section 3 of the Excise Act, 1848, shall apply in relation to the duties imposed by paragraphs 4 and 5 of this Order with the modification that "three years" shall be substituted for "six calendar months".

(7) Section 24 (1) of the Finance Act, 1938 (No. 25 of 1938), shall apply in relation to the duty imposed by paragraph 4 of this Order with the following modifications:

( a ) "or a motor vehicle liable to the duty imposed by paragraph 4 of the Imposition of Duties (No. 236) (Excise Duties on Motor Vehicles, Televisions and Gramophone Records) Order, 1979, is delivered within the meaning of that Order" shall be inserted after "relating to the customs,", and

( b ) "or any person to whom such a motor vehicle has been sold or otherwise disposed of (as the case may be)" shall be inserted immediately after "of such goods".

22. (1) Where it is shown to the satisfaction of the Revenue Commissioners that the duty of excise imposed by paragraph 14 of the Imposition of Duties (No. 221) (Excise Duties) Order, 1975 ( S.I. No. 307 of 1975 ), has been charged before the 1st day of March, 1979, in respect of motor vehicles (including knocked-down motor vehicles) which are chargeable with the duty of excise imposed by paragraph 4 of this Order, they may, subject to compliance with such conditions as they may think fit to impose, remit or repay the duty imposed by the said Order.

(2) In this paragraph "knocked-down" is to be taken to apply only to a number of articles (not including a body shell painted, upholstered or fitted with glass) which are imported at the same time, or, subject to compliance with such conditions as the Revenue Commissioners may think fit to impose, within such time as the Revenue Commissioners may allow, and are shown to the satisfaction of the Revenue Commissioners to consist collectively of a complete of substantially complete aggregate of parts for a motor vehicle and to be imported for assembly in the State; provided that the degree of assembly to be undertaken in the State is of a character and to an extent for the time being approved of by the Minister for Industry, Commerce and Energy.

(3) Where it is shown to the satisfaction of the Revenue Commissioners that the duty of excise imposed by paragraph 15 of the Imposition of Duties (No. 221) (Excise Duties) Order, 1975 ( S.I. No. 307 of 1975 ), or paragraph 6 of the Emergency Imposition of Duties (No. 66) Order, 1935 (S.R. and O., No. 81 of 1935), has been charged before the 1st day of March, 1979, in respect of tyres used or intended to be used by a licensed manufacturer in the manufacture of motor vehicles liable to the duty of excise imposed by paragraph 4 of this Order, the Revenue Commissioners may, subject to compliance with such conditions as they may think fit to impose, remit or repay the said duty charged on the tyres.

23. Dutiable goods which--

(i) were imported before the 1st day of March, 1979, by a person who was a manufacturer of such goods within the meaning of the Value-Added Tax Act, 1972 , or were manufactured and were not delivered within the meaning of the said Act,

(ii) are not delivered on or after that date, and

(iii) are in the ownership or possession of a person who, on or after that date, is not or ceases to be a manufacturer,

shall be liable to the duty imposed by paragraph 4 or 5 of this Order, as the case may be, and, for that purpose, shall be considered to have been delivered on the date on which the said person ceases to be a manufacturer.

24. (1) Subject to subparagraph (3) of this paragraph and paragraph 21 of this Order, the provisions of the Customs Acts and of any instrument relating to duties of customs made under statute shall, with any necessary modifications, apply in relation to the duties imposed by paragraphs 4 and 5 of this Order on dutiable goods imported into the State as they apply in relation to duties of customs,

(2) Subject to subparagraph (3) of this paragraph and paragraph 21 of this Order, the provisions of the Statutes which relate to the duties of excise and the management thereof and of any instrument relating to duties of excise made under statute shall, with any necessary modifications apply in relation to the duties imposed by paragraphs 4 and 5 of this Order on dutiable goods manufactured in the State as they apply to duties of excise.

(3) Where in relation to any duty of excise imposed by this Order there is a provision in this Order corresponding to a provision of the Customs Acts or of any instrument relating to duties of customs made under statute (insofar as imported goods are concerned) or to a provision of the statutes which relate to the duties of excise or of any instrument relating to the duties of excise made under statute (insofar as goods manufactured in the State are concerned), the latter provisions shall not apply in relation to that duty of excise.

25. The duties of excise imposed by this Order are hereby placed under the care and management of the Revenue Commissioners.

26. The Imposition of Duties (No. 221) (Excise Duties) Order, 1975 ( S.I. No. 307 of 1975 ) is hereby amended by--

( a ) in paragraph 14--

(i) the deletion of subparagraphs (4) and (5) and,

(ii) the substitution of "chargeable with a duty of excise"for "motor vehicle body or a motor vehicle chassis liable to the said duty or a duty of customs imposed by the Order of 1972" in subparagraph (7)

( b ) The deletion of the matter in columns (1) and (2) of the Fifth Schedule at reference number 1.

27. This Order, so far as it relates to the duties of excise imposed by paragraphs 4 and 5 of this Order on dutiable goods imported into the State, shall be construed together with the Customs Acts and, so far as it relates to the duties of excise imposed by the said paragraphs 4 and 5 on dutiable goods manufactured in the State, shall be construed together with the Statutes which relate to the duties of excise and the management of those duties.

GIVEN under the Official Seal of the Government this 22nd day of February, 1979.

SEÁN Ó LOINSIGH,

Taoiseach.

EXPLANATORY NOTE.

This Order is designed to make good, by means of excise duties, the VAT foregone by the transfer of cars, motorcycles, televisions and records to the single VAT rate of 10% in accordance with the provisions of the Value-Added Tax (Amendment) Act, 1978 , with effect from 1 March, 1979. Commercial vehicles, although they are not liable to the two-tier VAT, are included in the new duty structure at a duty rate designed to ensure that there is no increase in the overall tax burden on such vehicles.