I attended the Belize Hotel Association General Meeting yesterday and although the speeches were not so clear about the new tax, during the mingling before and after the meeting this became clear:

The Ministry of Tourism wants to raise the hotel tax to 12.5% like the GST. Hotels can then deduct GST paid on expenses. The question is who is going to collect it, it looks like the GST office is going to collect it for the Ministry and the BTB will then get a budget from them for their marketing. Obviously BTB is against this and want to become GST agent (like customs) so they can collect and have control over the budget.

The hotels should then include the GST in the rack rates, so not add it on and are expected not to raise prices with the same percentage, because they can deduct GST on expenses. The new law is supposed to go to the cabinet this week.

Jan

Portofino Restaurant & Beach Resort
North Ambergris Caye
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