Call to cut VAT on PPE as businesses reopen
REVENUE should remove VAT on Personal Protective Equipment (PPE) to help cut costs for businesses reopening after lockdown.
The call comes from Traleebased Fianna Fáil councillor Mikey Sheehy, who says PPE costs are placing a huge strain on business owners as they work to reopen their doors.
With social distancing set to be part of life and business in Ireland for many months to come, forms of PPE will be needed by the majority of workers. Cllr Sheehy says cutting VAT on equipment would provide significant savings for businesses already struggling to survive.
At present hospitals, the HSE, nursing and care homes and GP practices are exempt from paying VAT on PPE. Cllr Sheehy said the exemption should be extended to all businesses, particularly pharmacies and front-line services.
“The remit is incredibly narrow and is basically only for hospitals purchasing PPE. The scheme should, at the very least, be extended to pharmacies and other frontline services,” he said.
The Cllr said he has worked with Fianna Fáil’s finance spokesman Michael McGrath on the issue for weeks.
“Other industries and businesses are now going to face increased costs in this regard”, Cllr Sheehy said. “To be honest there probably isn’t a sector out there that will be able to operate without PPE for either staff customers or both...this measure would offer a small direct saving to businesses struggling to re open with additional COVID19 costs,” said Cllr Sheehy.