The latest hike in the tourist tax in a major US city could affect hotel guests: a travel expert believes
A new Michigan law has passed that raises the tourist tax in an effort to expand the state’s tourism marketing programs.
House Bill 6166 raises taxes applicable to hotels/motels and bed and breakfasts (with at least 35 rooms) to guest accounts.
Starting January 1 through December 31, 2030, the tax will jump from 2% to 3.5% with a planned increase to 4% on January 1, 2031.
TRAVELERS MAY FACE ANOTHER “TOURIST TAX” WHEN VISITING CERTAIN CITIES
State Rep. Tyrone Carter, who introduced the bill, told Fox News Digital that the money raised will go Visit Detroit.
In Michigan, a new law was passed that would allow hotels to raise the tourism tax to 3.5%. (iStock)
Carter also said it’s important to note that this is an “opt-in” opportunity for hotels.
“To go up 1% when you’ve been at 2% for the last 20, 30 years, I don’t think it’s unreasonable when you look at everything that’s happened,” Carter said.
CLICK HERE TO SIGN UP FOR OUR LIFESTYLE NEWSLETTER
He added, “it’s not going towards anything other than promotion [Detroit] area … and all the things we have to offer that require advertising money.”
Last April, Detroit drew more than 775,000 visitors for the NFL draft. (AP Photo/Paul Sancy)
“I thought it was great, especially after the success NFL draftfor so many people from all over the country to come here and get that new perspective, an idea of what Detroit looks like,” Carter said.
More than 775,000 people visited the Detroit area last April for NFL draftaccording to Visit Detroit.
“We’re never going to make everyone happy. But I think the 1% and being able to join is also a thing. If you don’t want to join, you don’t have to. It’s optional,” shared Carter.
For more lifestyle articles, visit foxnews.com/lifestyle
Michelle Bork, vice president of Travelmation, told Fox News Digital that she is concerned about tourist tax increase.
Michigan State Representative Carter told Fox News Digital that the funds will go to promote tourism in the Detroit area. (Roberto Machado Noa/LightRocket)
“I’ve lived in Michigan for 27 years and have traveled regularly to all kinds of beautiful destinations around the state,” Bork said.
She added: “By increasing the tourist tax, you’re basically charging people who already live there to visit your country.”
CLICK HERE TO DOWNLOAD THE FOX NEWS APP
“Most people who to visit Michigan are from the state or surrounding areas. If it becomes cheaper to visit other places, the state of Michigan could lose visitors and revenue, which would be heartbreaking for local businesses,” Bork said.
The bill is currently with the governor Gretchen Whitmer waiting to be signed into law.
