The Senate also debated and passed the Government's Accommodation Tax (Remission of Arrears) Bill of 2022.
As we reported, the government wants to roll out a 3-month amnesty for businesses within the tourism sector that offer hotel services. Among the group of businesses that could qualify for this proposed forgiveness for tax arrears are those who offer their properties as accommodations on Airbnb.
It's supposed to put these tourism sector business owners on the same level playing field as the traditional hoteliers. Here's what the Senate had to say on that topic yesterday:
Senator Eamon Courtenay - Leader of Government Business
"Madam President. I raise them on the second reading of a bill for an act to provide for remission of arrears of accommodation tax under The Hotels and Tourist Accommodations Act and to provide for matters connected therewith or incidental thereto. Again, Madam President, this is designed to give relief to the tourism sector that had suffered primarily under the COVID. It provides for an amnesty to be applied for, or sorry, for a waiver to be applied for during the amnesty period. Clause five of the bill states specifically that the act shall come into force on the 1st of October 2022 and shall remain in force for a period of three months, but which period may be extended? It is intended to be of short duration so that it can come to an end an order pursuant to one, where it will be subject to affirmative resolution. That is, it will once again be brought to the National Assembly."
Carolyn Trench-Sandiford - Senate President
"I recognize Senator Janelle Chanona."
Senator Janelle Chanona - NGO Representative
"Thank you. Madam President, we just had a question from our sector on this, but it's more an overarching comment in terms of. We interpreted this tax as a pass-through tax that would be collected from the guests and then passed over to the government of Belize. So the sector was just curious in terms of why select this tax for remission as opposed to maybe money spent on sargassum or money spent on other things. So I just asked for a little bit of context as to why this particular tax, because that was one of the questions that came out of our consultations."
Senator Beverly Williams - UDP Representative
"Generally, the taxes are consumption taxes, and it's collected from the consumer and then passed to the government. So remission of the tax again is questionable. Again, my understanding was it was to attract the Airbnbs to come into the net to register. So you provide a level playing field to the other hoteliers if it is for a short period of time. But I see that says it can be renewed. I am hoping that that is just to bring them in the net, and then we can get everybody on a level playing field."
Senator Eamon Courtenay
"Again, I thank Senator Williams. That is the intention to bring people in who have actually collected and not passed over because they are quote-unquote 'Airbnb' and say that they fall outside the net; they have to be brought in. They have been given an opportunity to come in, and they will get a reduction in a very concentrated period of time."
