Hotel’s €4m tax settlement

Two hotel companies owned by Galway businessman Tom Callanan have reached settlements totalling just over €4.5 million with Revenue for underdeclaration of taxes.

It was the second highest settlement recorded in the country in the latest quarterly list of tax defaulters published by Revenue.

The settlements by the Skeffington Arms Hotel Ltd and Corrib House Hotels Ltd were made following investigations by Revenue.

The Skeff reached a settlement of €4,133,814 for underdeclaration of Corporation Tax, PAYE/PRSI, Stamp Duty and VAT. The settlement is made up of €1.8m in tax, €950,000 in interest and €1.3m in penalties.

Corrib House Hotels settled for a total of just under €372,000 for underdeclaration of Corporation Tax and VAT. This was made up of €132,000 in taxes, €139,000 in interest and €99,000 in penalties. Both of the companies are ultimately owned by Tom Callanan from Barna and Maeve Callanan from the Claddagh in Galway.

Steven Monaghan, a guesthouse owner in Knocknacarra, Galway, settled for more than €137,000 for underdeclaration of Capital Gains Tax following an audit. The figure comprises almost €100,000 in tax, €18,000 in interest and almost €20,000 in penalties.

For more on this story, see the Galway City Tribune.