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05/02/2008

Donegal Councillors Vote For Holiday Home Tax

Donegal councillors have voted in favour of introducing a tax on holiday homes in the county.

There are an estimated 8,000 holiday homes in the county, many of them owned by people from the North.

Councillor Bernard McGuinness said that although it could be a way to address a €1m rates shortfall, only the government can raise taxes.

At present holiday homeowners spend weekends and much of the summer at a second home in Donegal, but do not contribute towards the local infrastructure, including roads and sewerage facilities.

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Councillor McGuinness said: "There are a number of holiday home-owners who have indicated they are willing to pay a small fee for the services they receive in Donegal - they get free water, they get everything."

The Fine Gael member said Donegal County Council members were continuing to hold meetings with government figures to explore ways of broadening their tax base.

Estimations have suggested that cash-strapped local authorities could pull in up to €4m if the tax is introduced.

However, some opponents of the proposals have said the plans effectively discriminate against tourists who have improved the local economy.

(NS/JM)





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