A group representing Irish hoteliers is calling for a permanent reduction in VAT for the tourism and hospitality industry.
The Irish Hotels Federation (IHF) says it welcomes additional measures, announced on Saturday, to help businesses after the coronavirus pandemic.
The €6bn package of measures includes commercial rates being waived for three months, low-interest rate loans and the ‘warehousing’ of tax liabilities for a period of 12 months.
But the IHF claims they fall short, given the challenges facing Irish tourism.
IHF President Elaina Fitzgerald Kane says: "Specific sectoral supports are required for the tourism sector, particularly in relation to Government controlled costs, to mitigate the devastation that the COVID-19 crisis has caused the industry.
"We are calling for a permanent reduction in the tourism VAT rate, a waiver on local authority rates and charges until the impact of COVID-19 restrictions has abated and for a minimum of 12 months, as well as targeted liquidity measures to provide working capital for tourism businesses to survive and restart."
The group is also asking for a continuation of the job subsidy scheme.
It says about 85% of hotels across the country are closed, with many people laid off or on short-time.
"The priority must be to safeguard the 260,000 livelihoods supported by tourism businesses", Ms Kane adds.
It echoes comments from the Restaurants Association of Ireland (RAI), which last week called for a 0% VAT rate for tourism and hospitality for the period of the crisis - and for 12 months thereafter.
