Government is set to scrap VAT on newspapers in this afternoon’s budget, Government sources told the Irish Mirror last night.
Last week, the Taoiseach said he was “positively disposed” towards getting rid of the tax that is crippling so many media outlets, especially local papers, every week.
He said the issue was “on the table” for discussion ahead of the Budget and it now looks like his position has swayed other ministers.
Read More: 15 things we expect in Budget 2023 from tax breaks and cigarette changes to social welfare increase
With the backing of the Taoiseach now confirmed, the industry can be optimistic that the tax should be axed today.
The yield to the Government from the 9% VAT charged on papers, €18 million, is relatively small beer to the Exchequer in the grand scheme of things.
But it could mean the difference between survival and bankruptcy to so many local and provincial papers that are teetering on the brink of collapse.
Mr Martin told reporters in New York on Friday: “We are certainly examining that, as we said when we launched the Media Commission report the other day, that we would do everything we can positively to enable media to survive, particularly print media, in what is a very difficult environment, so we will be examining that positively.”
He added: “It is an issue that is on the table certainly and again, going right across Ireland, provincial media, print media and so on, has proven itself in the context of the pandemic, bringing information to the public.
“It goes to the heart of what we’ve been debating at the United Nations in respect of democracy and the centrality of the media to democracy.”
The Mirror then asked him if he personally was of the opinion that the tax should be scrapped.
The Taoiseach said: “As I say, I am the Taoiseach of the Government, I don’t get to take personal positions all the time, but look, we’re working on it.
“I’m positively disposed towards it.”
READ NEXT:
- Ireland house prices: The salary needed to buy a home in each county amid surprising new Daft data
- Gogglebox's Giles secret job that earns him lots of money after retiring at 21
- Fans fear for Love Island's Paige as video emerges of boyfriend Adam with mystery blonde
- TV chef Rachel Allen bowled over by stranger's kindness after son jailed for drug offences
- Pat Kenny tells Stephen Donnelly he does not have 'great optimism' for winter after after daughter rushed to hospital
Get breaking news to your inbox by signing up to our newsletter
