Tax treatment of income arising from the provision of short-term accommodation

Revenue eBrief No. 030/20


4.1 What VAT rate applies to short-term accommodation?

In general, the letting of immovable goods is exempt from VAT unless the lettingrelates to short-term accommodation, and other short-term guest/holiday accommodation.

Short term accommodation is generally subject to VAT at a reduced rate (13.5%), and applies to activities such as:

  • Letting of a room(s) in a hotel or guesthouse.
  • Short term lettings of all or part of a house, apartment or similar building.
  • Letting of a part of a caravan park or similar place.
  • Letting of a part of a camping site or similar place.
  • Provision of any other holiday accommodation.
    However, the provision of student accommodation is exempt from VAT.

4.1.1 Short term lettings

A short term letting is a letting of all or part of a house, apartment or other similar establishment:

  • to a tourist, holidaymaker or other visitor
  • for a period which does not exceed or is unlikely to exceed 8 consecutive weeks

A letting of emergency accommodation is excluded from this definition.