Excise Taxes

Alcohol Products Tax

Alcoholic product tax applies to beers, wine, spirits, cider, perry and other fermented beverages.  The tax rate is dependent on the alcoholic content.  Brandy, whisky, gin, vodka, rum and other spirits are subject to a relatively uniform rate.

Different rates apply to other fermented beverages which have an alcoholic content which is  entirely of fermented origin and does not exceed 15 percent volume or is of fermented origin and  which, in the case of still beverage, does not exceed 10 percent, in the case of a sparkling beverage does not exceed 13 percent and includes any mixture exceeding 1.2 percent of such beverage with non-alcoholic beverage.

There are a number of reliefs, including in respect of

• beverages other than beer not exceeding 1.2 percent volume,
• vinegar flavours for the preparation of foodstuffs and beverages not exceeding 1.2 percent volume,
•  medicinal products,
• foodstuff, where alcoholic products are used as a filling directly or as a constituent of semi-finished products for use in the production of foodstuffs.

Mineral Oil Tax

Mineral oil tax applies to

• aviation gasoline,
• hydrocarbon oil,
• liquefied petroleum gas, substituted fuel, biofuel, biomass, fuel oil, light oil, kerosene, and hydrocarbon oil.

The rate of tax is dependent on whether the oil is

• light oil such as petroleum, aviation gas
• or heavy oil used for propellants and other purposes,
• liquefied petroleum gas,
• substituted fuels.

The rate depend on whether the use is for business or commercial purposes.  The tax applies to coal.

Mineral Oil Tax Relief

There are reliefs for

• mineral oil tax for purposes used other than for motor and heating fuel
• mineral oil exported from the State to outside the EU
• present in the standard tank of a commercial motor vehicle or other commercially propelled vehicle
• used for chemical reduction or metallurgical processes,
• used for fuel for sea navigation, sea fisheries other than private pleasure navigation
• heavy oil used as fuel for the purpose of air navigation other than private pleasure flying
• use for the manufacture of mineral oil
• heavy oil used in aircraft engines during testing and maintenance
• standard tank for mechanically propelled vehicles, including aircraft used for private pleasure purposes where such oil has not been released for use as a propellant and where the oil is permitted under the law in force in the state to be used for such vehicle

There are additional reliefs specific to coal including

• coal for the generation of electricity,
• coal for combined heat and product generation,
• dual use,
• household use,
• charitable organizations,
• fuel trains,
• agricultural or horticultural  works and
•  in forestry.

Coal Trade

The person who makes the final delivery of coal other than to households and charitable organizations and every person who is liable to pay mineral oil tax on coal shall register with the Revenue Commissioner.

A coal trade or liable user shall not, later than the nineteenth day of the month following the end of the accounting period, furnish Revenue with a return specifying the quantity of coal delivered to such user, giving the calculation of the tax payable.

The coal trader or liable user shall, within 14 days of the change in the particulars required to be furnished, give notice of such change to Revenue.

The registration with Revenue of a coal trader or liable coal user shall be in a form prescribed by the Minister.

Electricity Tax

Electricity tax is charged at different rates for business and non-business use.  Relief on tax is granted on any electricity which is shown  to the satisfaction of Revenue

• to have been supplied for household use
• to have been generated from renewable sources
• to have been produced from environmentally friendly heat and power cogeneration in accordance with efficiency, coal generation requirement prescribed by EU Council Directive
• to have been used for chemical reduction or in electrolytic or metallurgic processes
• to have been used for combined heat and power generation
• to have been used for the purpose of production of electricity or in connection with such production
• to have been produced some board about or other craft

For relief for renewable sources, it must have been generated from

• solar, wind, wave,
• tidal
• geothermal origin,
• hydraulic origin is produced in a hydroelectric station
• generated from biomass or fuel cells.

Vehicles Registration Tax

Vehicles intended to be kept permanently in the State must generally be registered with Revenue, and the vehicle registration tax must be paid. Vehicle registration tax is based on engine size and with reference to emissions.  There are various categories of vehicles for the purpose of the tax.

The tax is applied at a rate on the chargeable value of the vehicle.  The chargeable value is the price inclusive of all tax and duties which, in the opinion of the Revenue, a vehicle of that model or specification, including enhancements or accessories, would be expected to fetch on a first-time sale in the open market in the State by retail.

There are reliefs from vehicle registration tax in limited circumstances.  This includes the transfer of residence

• transfer of business activity and
• inheritance.

Tobacco Products Tax

Tobacco products tax is applicable to cigarettes, cigars and other smoking tobacco.  It does not apply to tobacco used for medical purposes or herbal cigarettes.

There are reliefs for tobacco product tax on manufactured tobacco

• shown to have been exported or reexported from the state to a place outside the EU
• Denatured tobacco products used for industrial purposes
• Tobacco products remanufactured by the manufacturer
• Tobacco products which have been shown to have been intended solely for scientific tests

Tobacco products taxes are paid on cigarettes, and fine cut tobacco by purchasing tax stamps from Revenue. They may be affixed to the packs in which the products are intended to be placed for retail sales.