Get the app today! Download iPhone App Download Android App

Tourism Minister Cautions Against Increasing 9% VAT Rate With Brexit looming

Published on Sep 11 2018 9:46 AM in General Industry tagged: Featured Post / Brexit / 9% VAT Rate

Tourism Minister Cautions Against Increasing 9% VAT Rate With Brexit looming

Minister for finance Paschal O'Donohoe has been warned by tourism minister Brendan Griffin that the tourism industry's reduced VAT rate of 9% is "sacrosanct".

Among fears that the rate will be raised to 13.5% in the next budget, Griffin told TDs and senators present at a Fine Gael parliamentary party gathering in Galway last week that increasing the 9% VAT rate would be a threat to the hospitality sector with Brexit looming, and received applause for his assertion, according to The Business Post.

"City-Tax"

It is understood that Griffin favours the introduction of a European-style "city-tax" to capture revenue from tourists rather that raising the reduced VAT rate. However, despite the fervent response to Griffin's speech, Donohoe would only say that decisions would have to be made.

© 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.

Share on Facebook Share on Twitter Share on Google+ Share on LinkedIn Share on Tumblr Share via Email