Retailers who looked at the message at the bottom of their Daily Delivery note on Tuesday morning would have seen the following
“Please note that the 9% VAT rate is only applicable for November and December 2022. The VAT rate changes from 9% to 0% from 1st January 2023 so the 9% VAT rate can be disregarded from January”.
Unfortunately, this is wishful thinking!
The Finance Bill does not make provision for anything other than newspapers to be reduced to 0% VAT, a matter that we have continued to seek clarification upon, given the considerable amount of administrative work our stores will have to complete in the lead-in to the New Year.
Newspread has accepted that the communication was incorrect and will be withdrawn, pending the passage of the Bill.
CSNA are hopeful that there will be much greater clarity and definition in what, from a Revenue perspective, constitutes a Zero-rated publication once the mandarins in Finance and the whizz-kids in Dublin Castle apply their collective brainpower to the question of “when is a publication a newspaper but not a periodical, a magazine, a journal or a paper published only once a week?”