Minister of State for Tourism and Sport, Michael Ring has said that the retention of the nine per cent VAT rate for tourism services will be a great boost to the tourism sector. Minister Ring has also warmly welcomed the scrapping of the air travel tax, as introduced by the Minister for Finance, Michael Noonan TD, as part of Budget 2014.
“I am delighted that Minister Noonan has decided to retain the lower VAT rate for tourism services, which has no doubt played a significant role in boosting visitor numbers here over the last two years. This Government has identified the tourism industry as a sector with considerable growth potential, and as a result, a number of measures have been introduced to encourage as many people as possible to holiday in Ireland.”
He concluded: “The nine per cent VAT rate was originally introduced a short-term interim measures, to provide a boost to the tourism sector. But Minister Noonan has clearly listened to those involved in the industry, and has taken the pragmatic decision to extend the VAT rate and slash the air travel tax. This will safeguard jobs in the sector and come as very welcome news to everyone involved in the tourism industry.”