It’s official! Government signs agreement with Airbnb for tax on hotel accommodation
The government and Airbnb have signed an agreement to voluntarily collect the tax on hotel accommodation from transient occupants.
That’s according to a government-commissioned press release that says the deal was signed by Prime Minister Andrew Fahie on November 20.
The deal aims to complement the government’s overall strategy to increase the stock of rooms in the British Virgin Islands for overnight visitors.
To this will be added the number of rooms that will be made available in 2020.
Just a day before signing the deal, Premier Fahie praised the Airbnb service and ranked it as a valuable asset to BVIs.
“Our strong Virgin Islander entrepreneurial spirit shone in the wake of Hurricanes Irma and Maria when local owners opened their homes to visitors through the Airbnb online service. This provided a lifeline for our tourism industry when major properties were unusable, ”said Premier Fahie, who is also Minister of Tourism.
He added, “The expansion of the hotel base poses no threat to Airbnb owners, as the demand for rooms far exceeds targets and market preferences are diverse. Your government views Airbnb as a valuable part of our economic landscape and makes a positive contribution to the economy. “
According to the statement, more than 2,000 visitors booked accommodation through Airbnb in the BVI from July 2017 to July 2018.
The revenue generated by the service played a central role in helping landowners in their rebuilding process, following the devastation caused by the hurricanes of September 2017.
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