{"id":231727,"date":"2025-04-04T05:20:57","date_gmt":"2025-04-04T09:20:57","guid":{"rendered":"https:\/\/antiguanewsroom.com\/?p=231727"},"modified":"2025-04-04T07:44:55","modified_gmt":"2025-04-04T11:44:55","slug":"hotels-underreporting-tourism-guest-levy-amid-high-occupancy","status":"publish","type":"post","link":"https:\/\/antiguanewsroom.com\/hotels-underreporting-tourism-guest-levy-amid-high-occupancy\/","title":{"rendered":"Hotels Underreporting Tourism Guest Levy Amid High Occupancy"},"content":{"rendered":"
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Tax Revenues Up, but Inland Revenue Targets Hotel Levy Underreporting<\/strong><\/p>\n\n\n\n

While Antigua and Barbuda is seeing a rise in tax <\/a><\/strong>revenues for the first quarter of 2025, government officials are now turning their attention to suspected underreporting by some hotels\u2014particularly in the collection and payment of the guest levy.<\/p>

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During Thursday\u2019s post-Cabinet media briefing, Chief of Staff Ambassador Lionel Hurst confirmed that Customs duties and the Antigua and Barbuda Sales Tax <\/a><\/strong>(ABST) have shown measurable increases, suggesting positive economic activity. However, he noted that guest levy receipts from the hotel sector do not reflect the booming tourism figures being reported.<\/p>

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\u201cThe hotels are full to the brim, yet many are still paying the same amount in guest levy as they did last year,\u201d Hurst said. \u201cThat doesn\u2019t add up, and the Inland Revenue Department has taken notice.\u201d<\/p>\n\n\n\n

He explained that the IRD will use data collected through the country\u2019s electronic embarkation\/disembarkation (ED) cards\u2014where visitors indicate their length of stay and accommodation provider\u2014to calculate estimated tax liabilities for each hotel. If a property\u2019s reported payments fall below these estimates, they will be issued a demand notice.<\/p>

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According to Hurst, if hotels fail to meet the estimated tax thresholds, \u201cthey will be challenged, and the Inland Revenue Department is prepared to defend its position.\u201d<\/p>\n\n\n\n

He suggested that some establishments may be engaging not only in underreporting but potentially in tax evasion. \u201cIt\u2019s one thing to be avoiding taxes; it\u2019s another to be evading them altogether,\u201d he said.<\/p>

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The guest levy, which is meant to contribute directly to national revenue from tourism-related income, is calculated based on guest nights and rates. Officials stress that the levy is a critical source of funding for infrastructure, marketing, and public services.<\/p>

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\u201cHotels can\u2019t boast about record numbers and then report minimal levy payments,\u201d Hurst said. \u201cThat\u2019s not going to be tolerated going forward.\u201d<\/p>\n\n\n\n

The announcement follows broader efforts by the Ministry of Finance to boost tax compliance and ensure that all sectors contribute fairly to the country\u2019s economic recovery and growth.<\/p>\n\n\n\n

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CLICK HERE TO JOIN OUR WHAT\u2019S APP GROUP Tax Revenues Up, but Inland Revenue Targets Hotel Levy Underreporting While Antigua and Barbuda is seeing a rise in tax revenues for the first quarter of 2025, government officials are now turning their attention to suspected underreporting by some hotels\u2014particularly in the collection and payment of the […]<\/p>\n","protected":false},"author":3,"featured_media":109745,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-231727","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news"],"yoast_head":"\nHotels Underreporting Tourism Guest Levy Amid High Occupancy - Antigua News Room<\/title>\n<meta name=\"description\" content=\"Antigua and Barbuda sees a tax revenue increase, but hotels may be underreporting guest levy payments. 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