Families of two children who were denied tax rebate for disabled ordered to pay legal costs

The families of two children who lost their cases over tax rebates for cars for the disabled will have to pay the legal costs of their cases, the Court of Appeal has ruled.

There may now be an appeal to the Supreme Court on the main issue in the case and on the costs order, the Court of Appeal heard today.

They were denied tax rebates under a scheme for those who buy specially adapted cars for disabled drivers or passengers. Sums of up to €22,000 are available if adaptations to a vehicle cost more than its open market selling price.

They challenged that in the High Court which rejected their separate cases on all grounds. Last month, the Court of Appeal upheld the High Court decision.

Derek Shortall BL, for the families urged the court not to impose the costs of the appeal, and to reverse the High Court order awarding costs against them.

He said the case involved a significant issue on a matter of public interest affecting hundreds if not thousands of others. It was effectively a test case, he said.

Mark Sanfey SC, for the Disabled Drivers Medical Board and the Minister for Finance, disagreed it was a test case. Both the High Court and appeal court found the regulations governing the scheme were clear. He said his clients should be awarded costs.

Ms Justice Máire Whelan, on behalf of the three judge appeal court, said while the court had great sympathy for the families, it was satisfied to affirm the High Court costs order and order costs against them for the appeal.

Mr Shortall, for the families, was granted the standard 21-day stay on the order because he said he wanted to get instructions from his client in relation to a possible further appeal to the Supreme Court.

Under the tax rebate scheme the severely disabled, or their guardians who drive them, can apply for remission or repayment of VAT and vehicle registration tax (VRT) on the purchase of a vehicle, or repayment of VAT on the cost of adapting the vehicle.