VAT
The temporary reduction in the VAT rate for electricity and gas to 9% is being extended by 12 months to 31 October 2024.
The VAT rate on the below products will be reduced to 0% from 1 January 2024:
Audiobooks
E-books
Solar panels installed in schools
The VAT registration thresholds will be increased from €37,500 to €40,000 for services and from €75,000 to €80,000 for goods with effect from 1 January 2024.
The annual cap on the VAT compensation scheme available to charities will be increased from €5 million to €10 million from 1 January 2024.
Farmers’ flat rate compensation will decrease from 5% to 4.8% from 1 January 2024.
A consultation is to take place regarding VAT e-invoicing and the Digital Age.
CAT
The Group B threshold of €32,500 will apply to foster children.
Residential zoned land tax
Budget 2022 introduced a residential zoned land tax at a rate of 3% of the market value of land within its scope, being land that on or after 1 January 2022 is zoned as being suitable for residential development and is serviced. The Minister today deferred the liability date of the tax by one year. This will allow for the planned 2024 review of maps to take place and will allow landowners time to engage.
Vacant homes tax
With effect from 1 November 2023 the rate of the vacant homes tax will be increased from three times to five times the standard LPT rate payable on that property.
Farming reliefs
Consanguinity stamp duty relief has been extended for a period of five years to 31 December 2028.
The aggregate lifetime amount of relief available under the Young Trained Farmer Relief for Succession Farm and Stock Relief for Young Trained Farmers will be increased from €70,000 to €100,00 from 1 January 2024. It was also announced that the stock relief for farmers in registered farm partnerships will be increased from €15,000 to €20,000 from 1 January 2024.
The accelerated capital allowances scheme for farm safety equipment has also been extended to 31 December 2026.
Excise duties
The fuel excise increases due to happen on 31 October 2023 have been deferred to 31 March 2024. Half of the outstanding amounts on petrol, diesel and marked gas oil will be restored on 1 April 2024, with the balance restored on 1 August 2024.
Excise duty on a packet of 20 cigarettes is being increased by 75c with a pro-rata increase on other tobacco products. A domestic tax is to be introduced in Budget 2025 in respect of e-cigarettes and vaping products.
Carbon tax
The rate of carbon tax for petrol and diesel will increase from €48.50 per tonne to €56 per tonne from midnight, 11 October 2023 on auto petrol and diesel. This increase will affect all other fuels from 1 May 2024.
VRT
The relief from VRT on battery electric vehicles is being extended for a further two years to 31 December 2025.