Dublin City Council considers tourism tax of €7 per head but needs Government to approve it

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  • Dublin City Council presented models for a tourist tax including per person per night per room per night and percentage of room rate.
  • A flat two euro per room per night fee would generate around seventeen point five million euro yearly.
  • Tiered charges include five euro nightly for five star hotels three euro for three and four star and two euro for lower categories.
  • Twenty one European countries already apply similar levies on accommodation.

Dublin City Council has floated proposals for a tourist tax on visitors staying in the capital. The authority presented models to councillors that include charges based on per person per night, per room per night or a percentage of the room rate. Officials aim to address the burden visitors place on city services through this measure which operates in twenty one other European countries.

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A flat fee of €2 per room per night could generate about 17.5m euro annually according to estimates. Tiered options would apply five euro nightly at five star hotels three euro at three and four star properties and two euro at one and two star hotels hostels and similar accommodation. 

New legislation would be required from the Government to allow local councils to implement the tax and faces opposition from hoteliers who cite existing high prices commercial rates and VAT payments.

Councillors expressed support for the concept with some preferring a percentage charge that adjusts with room prices. Others raised concerns over whether revenue would remain with the council or face reductions in state grants. The proposal continues to undergo discussion without a final decision. Councillors backed the idea but noted concerns about ring fencing revenue from government adjustments.

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Ross Curley shared “What we’ve seen is there’s three core ways on how this can be charged. So it’s per person per night per room per night and a percentage of the room rate.”

Nial Ring shared “My main concern on us doing a levy would be that the Government would snare it. Basically they would take it by reducing some other grants that they give us.”

Michael Pidgeon shared “Even if you can’t get agreement to change it or you forget about it for a while at least it’s a percentage. So it’s moving up with the price of the hotel.”

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Dermot Lacey shared “I think Nial Ring’s point though is really important. If we introduce such a measure we have to stop the state continuing to steal from us monies because we have raised it ourselves.”

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