Therein lies the problem. Applying a tax does not automatically mean you receive the tax. The increase in price can lead to fewer flights being taken. This leads to fewer tourists. fewer tourists means less VAT on their hotel stays. Means less money spent on booze in pubs. Means fewer kids from England spending money to go surfing in Doolin. Fewer Germans coming for a cheap weekend in Dublin.
The tax is likely to lead to a lower tax take.



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