Travel tax raised €11.2m last month

THE government's controversial air travel tax is on course to generate less than its forecast of €125m this year.


According to figures provided by the Revenue Commissioners, the travel tax raised a total of €78.4m in the nine months to the end of September.


But the take in the key summer months dropped compared to a year ago. The travel tax raised €11.2m last month compared to €12.4m in September 2009.


In August, €11.5m was received, about €1m lower than a year ago.


In the final three months of 2009 the total amount of tax raised was €26.9m and given the continued slump in air travel in recent months, it is unlikely that more than €100m will be taken in this year.


When the €10-a-ticket tax was introduced in 2009 it was expected to raise €150m a year for the exchequer. That estimate was later revised down to €125m in a full year.


It is believed there may be some amendments to the travel tax in December's budget.


While the Department of Finance is understood to be reluctant to give up the revenue raised by the tax, it is believed the departments of Transport and Tourism are in favour of some amendments to boost tourism into ­Ireland.