Ireland told to raise VAT rate on sale of horses and greyhounds

IRELAND has been told to increase the VAT rate on the sale of horses and greyhounds or give a very good social reason why it should remain at just 4.8%, a quarter of the standard rate.

VAT on most goods and services is 21%, but the Government has maintained that it is entitled to apply a much lower rate to the sale and hire of horses and dogs and to stud fees.

Under EU rules it should be at least 5% and then only if there is a clearly defined social reason for a reduced rate.