Oireachtas Joint and Select Committees

Wednesday, 23 November 2022

Committee on Budgetary Oversight

Report of the Commission on Taxation and Welfare: Discussion (Resumed)

Mr. Eoghan O'Mara Walsh:

Because we have had such difficult times - although we are thankful that the Government has stepped in with supports in recent years - people forget that tourism in an enormous net contributor to the Irish economy. Back in 2019, the last peak, the broad tourism and hospitality sector was worth approximately €9 billion with €2 billion going back to the Exchequer in tax receipts. To answer the Deputy's question, the best way to increase the tax the tourism and hospitality sector pays is to restore growth to the industry. There is only one way to do that in such a competitive environment. It must be remembered that every time an international visitor decides on a holiday destination, he or she can choose Scotland or multiple other destinations just as quickly as Ireland. We must remain competitive, not increase the tax burden, and instead allow the sector to grow, which will mean additional tax receipts for the country as a whole.