Visitor Tax Passes In Scottish Parliament
MSPs have passed a plan to introduce a tourist tax in Scotland.
The Visitor Levy (Scotland) Bill will allow local authorities to add a charge to overnight accommodation such as hotels, B&Bs and holiday lets.
The fee would be a percentage of the cost of overnight accommodation - minus commission the provider pays to any online booking service and room "add-ons" such food and drink.
So, as a way of example in the bill, external, the Scottish government says a 1% levy on £200 for a room would result in a £2 tourist tax.
Accommodation providers would be responsible for collecting the charge and passing the money on to their local authority.
Each local authority would be able to decide if it wanted to introduce a charge and what the level of the charge should be.
Seventeen of Scotland's 32 councils, along with national body Cosla, back the introduction of a levy, according to Scottish government consultation.
Dr Liz Cameron CBE, Chief Executive of Scottish Chambers of Commerce, said:
“The passing of the Visitor Levy Bill by the Scottish Parliament will come as a great disappointment to many in the business community. Coming at a time when hospitality and tourism businesses are already under severe pressure, it will cost jobs and mean additional costs for visitors.
“These costs will have a cascading effect, as room charges will need to increase for firms to cover the new tax. This will mean Scotland costs more in an incredibly competitive marketplace for visitors. It could also see many businesses go over the VAT threshold resulting in further costs.
“The Scottish Government and local councils must now ensure local business have the platform to determine how the additional tax revenue is spent in their local area, contributing directly towards boosting the visitor economy.”