SAN JUAN (April 26/11) – Puerto Rico–Caribbean tourism officials cautioned against regional governments heavily taxing the sector, as many head into new budgetary cycles.
The warning came during the 16th annual Caribbean Hotel and Tourism Investment Conference (CHTIC), a forum which provides delegates with the latest statistics, analysis, predictions and projections for the Caribbean’s tourism industry.
Caribbean tourism officials on stage at the 16th annual Caribbean Hotel and Tourism Investment Conference being held April 24-26 at the Sheraton Puerto Rico Hotel and Casino in San Juan. From left to right: Josef Forstmayr, president of the Caribbean Hotel and Tourism Association; Ricky Skerritt, Minister of Tourism of St Kitts and chairman of the Caribbean Tourism Organization (CTO); and Luis Rivera Marin, executive director of the Puerto Rico Tourism Company.
“We hear of new policies that taxes not only the private sector, but also our visitors directly,” said Josef Forstmayr (left), president of the Caribbean Hotel and Tourism Association. “These masquerade under such names as airport improvement taxes, tourism enhancement fees, and by far the worst of all, the UK’s Airline Passenger Duty (APD).”
According to Forstmayr, increased taxation is regressive, resulting in less revenue for the hotel and attraction sector. The CHTA president urged governments to make a “serious effort” to review their taxation policies on the tourism industry.
“It is now time to remove or reduce all excessive consumption taxes,” said Forstmayr. “Our industry is based on competitive pricing. Our visitors will simply choose other destinations.”
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