Catherine Connolly (Galway West, Independent)
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170. To ask the Minister for Culture, Heritage and the Gaeltacht if he has considered Galway city as a location for a pilot project for the roll out of a tourist bed-night tax; and if he will make a statement on the matter. [4860/25]

Patrick O'Donovan (Limerick County, Fine Gael)
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The issue of a tourism accommodation levy on short-term stays in paid accommodation is a multi-faceted one from a tourism perspective.

This introduction of an accommodation levy was proposed in the Report of the Commission on Taxation and Welfare in September 2022 and more recently in the Dublin City Taskforce report which was published in October 2024.

The tourism sector generates very significant revenues for the Exchequer and the introduction of such a levy would need careful consideration given the importance of inbound international tourism to Ireland's economy. A tourism accommodation levy would have to take account of issues such as who would pay; for example, whether it would be limited to international visitors or would it be extended to all tourists including domestic visitors. It cannot be considered independently of our general taxation system which is primarily the responsibility of the Minister for Finance. The geographic scope of such a measure would also be an issue. Other issues arising include the collection mechanism and its potential administrative impact on accommodation providers.

How the revenue raised from such a levy could be applied would also require close examination. I look forward to engaging, within my own Department and across government on this matter in due course. The possible conduct of a pilot project, as suggested by the Deputy, can be included in those considerations.