Haulier road fees and fuel duty
Bruton questioned whether Irish hauliers face double taxation and unfair competition from foreign road fees and fuel-duty checks. The Minister cited exemptions in several countries, acknowledged Italian road fees while negotiations on a bilateral agreement advanced, and described fuel-tank measurement practices.
asked the Minister for Transport if Irish truck operators face unfair competition in some EEC countries due to (i) a motor vehicle licence fee in respect of the days they spend in continental countries in addition to a full annual licence fee in this country and (ii) fuel oil duty in respect of fuel oil used within continental countries although it may have been purchased in Ireland with Irish duty paid.
Comment on this
I am not aware of any instances in which Irish hauliers face unfair competition in EEC countries in the circumstances mentioned by the Deputy. If the Deputy gives me information of particular cases where Irish hauliers are facing unfair competition I will have the matter examined and I will consider what appropriate action may be taken.
Comment on this
Has the Minister information as to whether or not a motor vehicle licence fee is charged to hauliers in respect of days they spend in continental countries? Is the amount of fuel in trucks entering and leaving the countries in question measured so that duty will be charged on the difference? Can the Minister say if these practices exist in any EEC countries and, if so, why he has not investigated the matter?
Comment on this
Regarding motor vehicle licence fees, these may be of two kinds—fees payable at home and those payable while in other EEC member states. With regard to fees payable at home it is understood from the Department of the Environment that under the Finance (Excise Duties) (Vehicles) Act, 1952, the owner of a mechanically propelled vehicle which is liable for road tax and which is used in a public place in the State has a legal obligation to pay the appropriate rate of tax on the vehicle. The Department say there is no provision for rebates of road tax for commercial vehicles in respect of periods spent abroad. Regarding the other question, there is a duty on fuel oil under EEC Directive 68297.
Comment on this
The Minister answered a question I did not ask, I am asking him if a fee is charged to Irish hauliers when in continental countries by the continental countries in respect of the days spent in those countries? If that is the case would the Minister not agree that this constitutes double taxation in that the haulier in question is paying taxation for the entire year to the Irish authority and also paying a fee in respect of parts of the same year to the continental authority? That is double taxation and something that continental carriers operating within the continental country would not have to pay thereby giving them a competitive advantage.
Comment on this
I am sure the Deputy is aware of the bilateral agreements negotiated by Ireland for exemption of Irish vehicles from road tax while in France, Belgium and the Federal Republic of Germany. Reciprocal facilities are granted to carriers from those countries while they are in Ireland. It is understood that no road taxes or duties are levied on Irish vehicles while they are operating in the UK, Denmark, Netherlands or Luxembourg.
Comment on this
Would the Minister not agree that in the case of Italy an Irish haulier would, in view of the Minister's reply, not only have to pay the Irish fee but also a fee for the period which the truck spends in Italy and that that involves double taxation and bears out the allegation contained in the question? Would the Minister confirm that he intends to do something with the Italian authorities to remove this incidence of unfair competition? Would he elaborate on the position as far as fuel oil is concerned?
Comment on this
I accept the point regarding Italy. Negotiations on a bilateral agreement with Italy have now reached an advanced stage.
Comment on this
Since Italy has been mentioned I will take that as an example. There is a process by which on entering Italy the Italian customs dip the tank. They take a measurement of oil carried and the tank is allowed to take out the same amount of oil. There are similar arrangements in other countries.