Wednesday, April 16, 2014

Best & Worst Cities for Travel Taxes

CBS Money Watch has a list of the cities with the highest and lowest traveler taxes. Taxes on hotels and rental cars are some of the easiest taxes for politicians to increase. Typically, these taxes only effect those who don't live in the community. Travelers don't vote in the communities that they visit, but they do bring in much needed cash to the cities coffers.

The Global Business Travel Association studied :
"50 top travel destinations in the U.S. in order to calculate the tax burden based on a single night's stay. To isolate taxes, the study used national average room costs of $105.31 per night; a car rental cost of $57.05; and daily meal expenses of $93.32, for a total one day outlay of $255.68. Where tax costs are set as a percentage of spending, they were calculated using these spending amounts. In some cases, however, taxes are set as a flat fee. Boston, for example, levies a $10 daily tax on rental cars."

Photo Credit: ChooseChicago.com
The cities that levy the biggest taxes on travelers?
1. Chicago: $41.04
2. New York: $38.65
3. Minneapolis: $36.70
4. Kansas City, Mo: $36.61
5. Indianapolis: $36.00
6. Cleveland: $35.417
7. Boston: $35.32
8. Seattle: $35.11
9. Nashville, Tenn.: $34.75
10. Houston: $34.16
Metropolitan areas with the lowest tax burden on travelers:
1. Fort Lauderdale, Fla.: $22.61
2. Fort Myers, Fla.: $22.61
3. West Palm Beach, Fla.: $22.61
4. Detroit: $22.80
5. Portland, Ore.: $22.86
6. Orange County, Calif: 23.61
7. Burbank, Calif: $24.59
8. Honolulu: $24.67
9. Ontario, Calif: $24.93
10. Orlando, Fla.: $24.94

Photo Credit: www.orlandohealth.com

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