Enda Kenny
Question:184 Mr. Kenny asked the Minister for Finance the tax breaks that exist for hotel renovation and renewal in the seven western counties arising from budget 2000-01; and if he will make a statement on the matter. [30032/01]
Written Answers. - Tax Reliefs.
In the budget and Finance Act, 1998, on the basis of monitoring capital allowances schemes, I provided that in the case of passive individual investors in hotels, the use of the capital allowances on the hotel buildings would be ring-fenced that is, they would be available for offset against rental income only. However, as the Deputy may be aware, I also provided that passive individual investors in three star standard and upward hotels located in seven counties in the north and north-west of the country may fully offset capital allowances on these hotels against all income, that is, non-rental income as well as rental income. The purpose of this relaxation was to promote investment in the provision of quality hotel accommodation in these counties.