Accommodation Tax, paid by rented accommodation in Anguilla, including hotels, guesthouses and villas, has now been increased by two percent. But the Tourism Levy, under which other fees were payable, has been abolished as a compromise.
Both provisions were catered for in the Accommodation (Amendment) Act, 2019 and the Tourism Levy (Repeal) Act, 2019, passed in the House of Assembly on Wednesday.
Premier and Minister of Finance, Mr. Victor Banks, said the Accommodation Tax had been increased from 10 to 12 percent and was agreed to across the industry. Meanwhile, he explained that the Tourism Levy (Repeal) Act was a consequential measure to the Accommodation Tax Act in that it removed the levy charged to hotel guests and property owners.
Leader of the Opposition, Ms. Palmavon Webster, was of the view that the Accommodation Tax Act was part of the Goods and Services Tax due to be introduced in Anguilla in the near future, and she expressed concern about the increasing of taxation.
Premier Banks said that the issue of a Goods and Services Tax had been spoken about over the past ten years and there were now consultations looking into the matter. “We have consultants on board working with us,” he added. “It is not the Chamber of Commerce alone which is asking questions – others as well, and a number of people are now involved supporting and advising the Government.”
