'Chi-ching' - big bucks from tourist fee!

[Tuff Gong]

'Chi-ching' - Jamaica expects to collect big bucks from tourist fee

Observer Reporter
Sunday, April 24, 2005

JAMAICA will begin collecting a US$10 fee from tourists who pass through the island's airports, starting May 1.
Called the Tourism Enhancement Fee (TEF), the charge on visitors is meant to raise capital for product-related spending.

A release from the Jamaica Tourist Board said the TEF could become a strong source of revenue, linked to increased tourist traffic, pointing out that for the first two months of this year, there has been a 4.5 per cent increase in visitors compared to the same period in 2004.

Last year, Jamaica had approximately 1.4 million stopover arrivals. At that rate, and assuming visits do not fall back below those numbers, the country could see annual earnings that top US$14 million ($850 million).

Tourism interests fear that the fee could hurt Jamaica's competitiveness by dissuading business.

But, said tourism minister Aloun Assamba in response: "I am not taxing the hoteliers, attraction owners or the Jamaican people. The revenue collected from our visitors will be used to contribute to the enhancement and the sustainability of our tourism product."
Visitors who arrive via cruise ship pay a $2 fee.
'Chi-ching' - Jamaica expects to collect big bucks from tourist fee

[RichD]

Re: 'Chi-ching' - big bucks from tourist fee!

i thought i saw yesterday that the minister has put this on hold...mek mi go look

[Tuff Gong]

Re: 'Chi-ching' - big bucks from tourist fee!

Originally posted by RichD:
[qb] i thought i saw yesterday that the minister has put this on hold...mek mi go look [/qb]

No the increase in GCT was put on hold till July, 2005. I may be wrong I will check into it as well.

[RichD]

Re: 'Chi-ching' - big bucks from tourist fee!

this is what i saw...not sure if the enhancement fee is included

Tourism tax on hold - Finance Minister orders Whitehouse hotel probe
published: Thursday | April 28, 2005

Andrew Green, Staff Reporter


ASSAMBA

FINANCE MINISTER, Dr. Omar Davies, yesterday, postponed by two months, the implementation of a new tax package for the tourism sector. He made the announcement while closing the 2005/2005 Budget Debate in the House of Representatives. The legislature approved a $347 billion spending package supported by new taxes of $9.4 billion.

"The Minister of Tourism (Aloun Assamba) and myself had an initial meeting with the sector," Dr. Omar Davies said.

CHANGES POSTPONED

"I have been struck by some concerns raised about the possible repercussion to the take-home pay of the workers resulting from the change in the categorisation of their allowances."

As a result, he said, the changes in terms of the treatment of the sector originally targeted for May 1 are going to be postponed to July 1.

The Finance Minister also responded to public concerns raised about the cost of escalation at the Sandals Whitehouse hotel project.

"I have asked for a complete comprehensive report indicating the rationale between the original projected cost and what will be the final out-turn," he said. Originally estimated to cost US$74 million (J$4.6 billion), the Government-backed project is now expected to be completed for US$105 million (J$6.5 billion).

A May 31 deadline has been set for the report, which he said would be forwarded to Parliament.

Based on the first phase of a major tax reform plan, the new tourism taxes are a key element in the overall programme to give the country a fully funded budget.

The new tax measures he had presented on April 14 required the capping of commissions at 15 per cent of gross income. It had also capped gratuities at five per cent of gross income.

Additionally, the Government had proposed raising the General Consumption Tax rate applicable to the sector to 8.25 per cent from 6.25 per cent along with other measures intended to raise $607 million.

The result has been an impassioned response from workers and hoteliers. Jamaica Hotel and Tourism Association (JHTA) president Godfrey Dyer said recently, "It is going to be very tough on us."

Dr. Davies said yesterday, "We are giving ourselves an additional two months in which to come to an agreement in terms of those measures we implement as of July 1."

Another issue having a major impact on the country's finances is the restructuring of the recently re-nationalised Air Jamaica.

Accounts for the period January to March show that losses for the period amount to US$30 million (J$1.8 billion).

"Although some drastic action will have to be taken, the administration is fully committed to maintaining our national airline within the context of a maximum subsidy of US$30 million (J$1.8 billion) per year," the Finance Minister noted.

The public, he said, will get to see a comprehensive report and business plan for the airline once it has been approved by the Cabinet and becomes available.

from yesterdays gleaner

[infinite_apparel]

Re: 'Chi-ching' - big bucks from tourist fee!

Perfect timing cuz im coming back in June.....So i give my extra $10 to my maid margaret

[Pepper]

Re: 'Chi-ching' - big bucks from tourist fee!

So what happen to the departure tax dem charge?

[RichD]

Re: 'Chi-ching' - big bucks from tourist fee!

Originally posted by Pepper:
[qb] So what happen to the departure tax dem charge? [/qb]

different tax dat..dem still a charge it

[Q3210]

Re: 'Chi-ching' - big bucks from tourist fee!

It must be a pleasure paying taxes in USA/ Canada where you can see the benefits especially when you become senior citizens.
In Jamaica it`s like we are contributing to some samfie scheme such as funding election camaigning and to the retirement package of the soon to be retired Honourable Prime Minister.
Also we fund a special health insurance to parliamentarians where an Air Taxi is flown in to whisk away the Honourable Member of Parliament to Cedars of Senai Hospital in Florida.
Yet in the wicked colonial days the governor of the time would use the Kingston PUBLIC Hospital.
Today we live in a segregated society, but the wool is over our eyes and we bow to the masters and call them Honourable.