Petrol, diesel, cigarettes and the hotel Vat rate are all going up in next week's Budget. Minister Donohoe will give himself another €100m to play with by reducing mortgage interest relief for 300,000 homeowners and hiking education levies paid by businesses. The 9% Vat rate on hotels, B&Bs, and restaurants is to increase by at least two percentage points in next week’s budget, in a bid to raise over €520m, according to the Irish Examiner. The retention of the 9% Vat rate has been in doubt for some time amid reports of city-centre hotels charging in excess of €300 a night per room while benefiting from the reduced Vat rate. This means hotels, large and small, guesthouses, B&Bs, restaurants, and bars will now be hit by a Vat rate of at least 11%.

Source: Evening echo October 02, 2018 05:37 UTC