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Province-wide accommodations tax possible next year

Province-wide accommodations tax possible next year

An accommodations tax may soon be charged on vacation rentals in Newfoundland and Labrador.

Hospitality NL and Municipalities NL are looking at bringing a room levy to lodgings in all communities in the province.

Right now, only St. John's and three other jurisdictions have the tax.

However, Rex Avery, chair of Hospitality NL and vice-president of Steele Hotels, says that could change — but only if the revenue from the tax is used for tourism or to improve communities.

"We have met with government over the last number of years expressing our concern with this," he said.

"We feel that any room levy that would be implemented would be by the request of the hotels — and used by the hotels to enhance marketing and communities."

Avery thinks the tax could be used to improve the tourism sector, specifically through community infrastructure.

"We want to see it put into tourism or infrastructures that would enhance or have an economic impact on the community," he said.

"From that, both sides would be a win, the community would (win) with extra taxes and revenue, and businesses would get it with extra business, too."

Avery says the tax wouldn't happen this summer, and that they would need to consult with their members before moving forward.