I wish to ask the Minister for Finance why a VAT inspector has been calling to bed and breakfast accommodation in the Dingle peninsula over the past few weeks and questioning the owners about how many rooms are let to tourists, and how many rooms have bathrooms. He has also asked to see their dining rooms and details on the number of people they can accommodate. This VAT inspector, as is his right, arrives at the door of the house, identifies himself properly and produces his identification card. Many people providing bed and breakfast accommodation are afraid that the tax man is about to move in again, which he has every right to do.
I ask the Minister for Finance to give careful consideration to the situation of people who are providing this much needed service for tourists. These people derive a small income from their activity during the summer months, and they charge between £8 and £12 per person for bed and breakfast. I can assure the Minister that this is not a holiday for the people providing this type of accommodation. I am not talking about guesthouses; I am talking about people who have up to five bedrooms in their houses. As I said these people are providing a much needed service for tourists who visit the Dingle peninsula.
There are approximately 180 hotel bedrooms in the peninsula 40 to 50 bedrooms in approved guesthouses. Over the past 15 to 20 yers an increasing number of people have visited this area. The people about whom I am talking have provided bed and breakfast for tourists year after year. In many cases the money they make from this business is used to carry out improvements to their homes. The bed and breakfast accommodation provided in Dingle is excellent. The money these people make from this business is reinvested so that they can meet the demands of tourists, many of whom require bedrooms with a bathroom en suite.
If these people take down their bed and breakfast signs and discontinue this service it will be a great blow to the Dingle peninsula, the town, restaurants, bars, etc. In future an inspector of taxes or a VAT inspector who wants to question people engaged in this business should write them a simple letter and attach a questionnaire so that they can give the necessary information voluntarily. I ask the Minister to introduce legislation which would provide that a certain amount of money derived from bed and breakfast accommodation would be exempt from tax as almost all this money goes back into improving the houses. County Kerry and the Dingle peninsula have set a standard in tourism which other counties could follow. I hope many Senators, TDs, the Minister for Finance and the Cathaoirleach will come to the kingdom, where they will enjoy their holiday and, at the same time, spend their money in Ireland.
The Seanad adjourned at 10.30 p.m. until 10.30 a.m. on Thursday, 16 July 1992.