Zero rate of VAT on domestic supply of PPE to continue in national effort to combat Covid-19 – Donohoe

1st May, 2021

Relief extended for domestic supply of PPE to end of year

The Minister for Finance, Paschal Donohoe has this evening (Friday) signed a Ministerial Order to extend the VAT relief currently in place for the domestic supply of personal protective equipment (PPE), thermometers, hand sanitiser, oxygen, medical ventilators and specialist respiratory equipment including respirators from 30 April 2021 to 31 December 2021.

This follows confirmation from the EU Commission that the temporary waiver of customs duties and VAT on imports of medical devices and personal protective equipment used in the fight against Covid-19 has been extended until the end of 2021. 

Minister Donohoe said: ‘As we continue to get to grips with Covid-19, through the roll-out of the vaccination programme and continued adherence to public health guidelines, the number of people who are being admitted to hospital, most notably for critical care, is improving. That said, I have taken the decision to extend the zero rate of VAT on the domestic supply of PPE as an aid to the healthcare system that is doing such a great job in battling this deadly disease. The relief in respect of domestic supplies will continue to provide assistance for those providing front line services. It will particularly benefit nursing homes, and other exempt activities, who up until now would have been unable to reclaim their VAT inputs on domestic supplies.”