Dáil Éireann Debate, Wednesday - 5 May 2021
205. Deputy Róisín Shortall asked the Minister for Finance if the stay and spend incentive which ran from October 2020 to April 2021 can be applied toward mobile home site fees; if the incentive will run again in 2021; and if he will make a statement on the matter. [23132/21]
View answer215. Deputy Bríd Smith asked the Minister for Finance if he will consider extending benefits or the staycation supports to owners of mobile homes that face annual fees but have been unable to access their home due to level 5 restrictions; and if he will make a statement on the matter. [22959/21]
View answer216. Deputy Bríd Smith asked the Minister for Finance if he will consider extending tax relief to owners of mobile homes that face annual fees but have been unable to access their home due to level 5 restrictions; and if he will make a statement on the matter. [22961/21]
View answerI propose to take Questions Nos. 205, 215 and 216 together.
I believe that with regard to "staycation supports", Deputy Smith may be referring to the Stay and Spend Tax Credit scheme which terminated on 30 April.
While I recognise the significant difficulties that remain to be faced by the hospitality sector, the decision not to extend the scheme into the summer months was taken in the broad interests of taxpayers and having regard to the substantial supports that remain in place, including the reduced 9% rate of VAT and the EWSS and CRSS schemes. It is fair to say that that taxpayers' interests would not have been best served by such an extension in circumstances where it is likely that we will all be staying at home and hopefully holidaying in Ireland. It may be more appropriate to take stock again after a further period and assess then if the position needs to be reconsidered.
While in operation, the purpose of the Stay and Spend scheme was to provide indirect support to service providers. This included, amongst others, hotels, guest houses, holiday hostels, youth hostels, caravan and camping parks and self-catering properties registered with Fáilte Ireland. As regards the question raised by the Deputies, site fees payable by owners of mobile homes would not have fallen within the ambit of qualifying expenditure.
With regard to the possibility of other tax reliefs on fees payable by owners of mobile homes to service providers, I do not believe it would be equitable to introduce such a relief.
More generally also, I must be mindful of the public finances and the many demands on the Exchequer; tax reliefs, no matter how worthwhile in themselves, lead to a narrowing of the tax base. Under my Department's Tax Expenditure Guidelines, changes to measures should only be considered in circumstances where there is a demonstrable market failure and where a tax based incentive is more efficient than a direct expenditure intervention.
