Page 28 - Tropic Magazine Issue 19

TROPIC • TOURISM

Time for a bed tax?

SPECIAL REPORT
A plan to introduce a visitor
accommodation levy in
Cairns is slowly gaining
acceptance.

Words Renee Cluff

$15 million. That’s how much
a proposed hotel bed tax could
raise for tourism marketing in
Cairns if a proposal by Cairns
Regional Council gets off the
ground. First muted earlier
this year as a means to help
fund sustainable tourism
promotion and marketing,
the current proposal would
see visitors charged an extra
1% - 1.5% on the price of their
nightly accommodation. would mean a rates increase of
The anticipated $15 million Manning said. “On a pro rata five to six per cent or more and
annual windfall would be basis it’s a very high number and you can imagine the reaction to
used by Tourism Tropical we also have a long length of stay that.”
North Queensland (TTNQ) to which means your levy per unit The idea of a bed tax was initially
market the region. That would can be low at 1% or 1.5%. We’re met with a frosty reception
represent a game-changing ideal for this.” by the local hotel sector.
budget increase for the region’s RATEPAYER LEVY But attitudes are thawing.
peak tourism body, currently Cr Manning has ruled out Crystalbrook Collection CEO
operating with just under introducing a general tourism Mark Davie told Tropic he would
$5 million at its disposal for levy for ratepayers, or a system much prefer a rates-based levy
marketing the Tropical North to similar to that used on the Gold but understands concessions
the world. and Sunshine Coasts in which may be needed to ensure action
“We’re not a big population but local businesses pay. “Imagine on the issue. “If a bed tax is the
we have a high number of bed Council coming forward with option being considered by the
nights, we’re 14 to 15 million an argument it’s going to tax its Mayor, and there is no other
bed nights a year,” Mayor Bob landholders,” he told Tropic. “It alternative, we are going to have

Mayor Bob Manning Mark Davie Kate Jones Michael Healy

28 • Tropic • Issue 19