The Sunday Times reports that Paschal Donohoe is set to increase the 9% VAT rate on hotels and restaurants by a minimum of two percentage points in this year's budget in a bid to raise as much as €260 million in extra revenue and increase his spending power by approximately €400 million.
Return To 13.5%
According to The Sunday Times, government sources have indicated that the rate for hotel accommodation will be returned to 13.5% over two budgets, and the lobbying register shows extensive contact between hotel, restaurant and publishing industries with the government ahead of the budget.
© 2018 Hospitality Ireland – your source for the latest industry news. Article by Dave Simpson. Click subscribe to sign up for the Hospitality Ireland print edition.
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