State rejects claims in Dunnes bag row

THE state has rejected claims by Dunnes Stores that a €36.4 million tax assessment imposed on the supermarket chain arising out of the levy for plastic shopping bags is invalid.

In proceedings before Mr Justice John Hedigan, Dunnes Stores is disputing the Revenue Commissioners’ tax assessments over a four-year period to November 2008 on grounds including the definition of plastic bag in the 2001 regulations is “so uncertain” as to render the regulations invalid.

The case arose after Dunnes received four assessments totalling €36.4m from Revenue in late 2009 who claimed the levies due had not been collected.