Fine Gael Clare Senator, Martin Conway, has welcomed the retention of the 9% VAT rate applicable to the tourism sector and the scrapping of the air travel tax, as announced as part of Budget 2014 by the Minister for Finance, Michael Noonan TD.
“I am particularly mindful that local business owners in Co. Clare benefitted from the 9% VAT initiative which to date has supported and protected jobs in the sector, and has helped tourism and leisure businesses to lower their cost base and attract more customers.
“The lower VAT rate applies to hotels, restaurants, leisure centres, and other attractions. It was initially introduced as a temporary measure, and its extension is very welcome.
“This has been a very positive year for tourism with the sector posting the best results in five years and I have no doubt that the retention of the VAT rate at 9% will continue to add to these positive returns in Co. Clare. The reduction of the air travel tax will encourage more business to Shannon Airport, which will allow it to further build on its recent successes in attracting new routes.”