{"id":159908,"date":"2022-09-25T09:23:03","date_gmt":"2022-09-25T13:23:03","guid":{"rendered":"https:\/\/antiguanewsroom.com\/?p=159908"},"modified":"2022-09-25T09:23:03","modified_gmt":"2022-09-25T13:23:03","slug":"tourism-official-calls-for-dynamic-tax-to-address-high-cost-of-air-travel","status":"publish","type":"post","link":"https:\/\/antiguanewsroom.com\/tourism-official-calls-for-dynamic-tax-to-address-high-cost-of-air-travel\/","title":{"rendered":"Tourism Official calls for \u201cDYNAMIC TAX\u201d to address high cost of air travel"},"content":{"rendered":"
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The President of the Caribbean Hotel and Tourism Association (CHTA) is recommending a tiered \u201cdynamic taxation system\u201d as a novel and potential solution to address ongoing concerns about the high cost of air travel within and to and from the region.<\/p>

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Calling for a flexible approach to levying airline taxes, CHTA\u2019s President Nicola Madden-Greig said one of the major constraints facing Caribbean travel is the heavy burden of taxation, and governments could well consider successful revenue management tactics employed within the tourism and aviation sector.<\/p>\n

Understanding that the full removal of taxes may be challenging, the CHTA president suggested a tax policy that is responsive to international travel demand seasonality. \u201cFor example, governments can affix a higher airline ticket tax in the peak winter season and lower taxes in the summer when demand is weak,\u201d she said, adding that giving consumers better prices to drive visitation during the slow season could boost tourism, commerce and intra-regional VFR (Visiting Friends and Relatives) travel.<\/p>

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Speaking recently at IATA Caribbean Aviation Day in Grand Cayman, the successful Jamaican hotelier said the economics of such a variable policy may in fact result in a net gain in tax revenue to Caribbean governments. \u201cAs travel becomes more affordable and we stimulate more travel, this will result in more local spending, and consequently an increase in local tax collections,\u201d she said, underscoring there will be an overall net benefit to the consumer thanks to lower ticket prices.<\/p>

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\u201cI think it\u2019s a concept that should be explored,\u201d said Madden-Greig, who argued that a well-developed strategy could address diverse perspectives on taxation. \u201cThere\u2019s a way to do it that allows for flexibility so you still have taxation on the front end, but when you need to drive demand, you can reduce those taxes and make up the difference on the tail end,\u201d she said. The taxation details however must be transparent, she warned.<\/p>\n

Madden-Greig, the Jamaica-based Group Director of Marketing & Sales at The Courtleigh Hospitality Group, said she hopes to explore the \u201cdynamic taxation strategy\u201d at the upcoming Caribbean Travel Forum, taking place at CHTA\u2019s Caribbean Travel Marketplace in San Juan, Puerto Rico, October 3 to 5, 2022.<\/p>

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\u201cThis could definitely answer the call for reduction in taxes, but not a reduction necessarily all year-round,\u201d the CHTA president explained, suggesting that policy makers could consider alternate tax regimes for regional and international flights in order to drive multi-destination and intra-regional travel.<\/p>\n

She admitted that research is required on the technological options to implement the system: \u201cIt may not be an immediate solution, but it\u2019s a solution we can work towards.\u201d<\/p>

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About the Caribbean Hotel and Tourism Association (CHTA)<\/p>

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The Caribbean Hotel and Tourism Association (CHTA) is the Caribbean\u2019s leading association representing the interests of national hotel and tourism associations and the region\u2019s private sector.<\/p>\n

For 60 years, CHTA has been the backbone of the Caribbean hospitality industry. Working with some 1,000 hotel and allied members, and 33 National Hotel Associations, CHTA is shaping the Caribbean\u2019s future and helping members to grow their businesses.<\/p>\n

Whether helping to navigate critical issues in sales and marketing, sustainability, legislative issues, emerging technologies, climate change, data and intelligence or, looking for avenues and ideas to better market and manage businesses, CHTA is helping members on issues which matter most.<\/p>\n

\"\"<\/a><\/div>","protected":false},"excerpt":{"rendered":"

The President of the Caribbean Hotel and Tourism Association (CHTA) is recommending a tiered \u201cdynamic taxation system\u201d as a novel and potential solution to address ongoing concerns about the high cost of air travel within and to and from the region. Calling for a flexible approach to levying airline taxes, CHTA\u2019s President Nicola Madden-Greig said […]<\/p>\n","protected":false},"author":3,"featured_media":135934,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-159908","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"yoast_head":"\nTourism Official calls for \u201cDYNAMIC TAX\u201d to address high cost of air travel - Antigua News Room<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/antiguanewsroom.com\/tourism-official-calls-for-dynamic-tax-to-address-high-cost-of-air-travel\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Tourism Official calls for \u201cDYNAMIC TAX\u201d to address high cost of air travel\" \/>\n<meta property=\"og:description\" content=\"The President of the Caribbean Hotel and Tourism Association (CHTA) is recommending a tiered \u201cdynamic taxation system\u201d as a novel and potential solution to address ongoing concerns about the high cost of air travel within and to and from the region. 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