Defective Concrete Products Levy (DCPL)

The Defective Concrete Products Levy (DCPL) is a levy that applies to the first supply of certain concrete products on, or after, 1 September 2023. The DCPL applies at the rate of 5%. The levy is applied to the Open Market Value of the concrete product on the date of their first supply.

The levy was introduced in the Finance Act 2022 which inserted Part 18E and Schedule 36 into the Taxes Consolidation Act 1997.

The person, or business, who makes the first supply of concrete products within the scope of the levy is the chargeable person for the levy. The levy is not chargeable on any second, or subsequent, supplies of that concrete product.

The Defective Concrete Products Levy (DCPL) will be applicable to the following products:

• Products, containing concrete, that are required to comply with the following EU Harmonised Standards (or adapted national version of such Harmonised Standard), as set out in Schedule 36 to the TCA 1997:
  • EN 771-3:2011+A1:2015 Specification for masonry units – Part 3: Aggregate concrete masonry units (Dense and lightweight aggregates)
  • EN 771-4:2011+A1:2015 Specification for masonry units – Part 4: Autoclaved aerated concrete masonry units.
• Ready to pour concrete which may be chargeable to Value Added Tax at the rate of 13.5% under paragraph 16(1) of Part 4 of Schedule 3 of the Value Added Tax Consolidation Act 2010

An Irish Concrete Federation technical submission to the Dept. of Finance has proposed the implementation for products delivered should be as follows:

Unit Price x 0.75 (deduction of haulage) x 5%(DCPL).

We are therefore implementing the levy based on this Industry Technical Submission. Ready-Mix Concrete and Masonry Products subject to the DCPL will be clearly identified and cumulatively displayed on every invoice.

For further information about DCPL, click here.