Scottish Tourism Tax

[Martin&Rene]

It is reported that the Scottish Government has unveiled plans for a Visitor Tax that would allow councils to impose a tax in any form of overnight accommodation. My newspaper includes the comment that;

“it would be chargeable on the overnight parking of a campervan at a campsite or the mooring of a yacht.”

How would it determine the latter. For the majority of the year, my yacht is in a marina. Would it be charged for all the time it is there, or only when I am aboard the yacht in the marina? In the latter case, would we have to clock in and out on our visits to the yacht in the same manner as the old shipyard workers did?

Some moorings are provided free to users of a hotel who are spending money locally, so what would happen there?

Some moorings are provided by a local community association, such that all the monies taken are used for the upkeep of the local facilities, so why the need for an extra council tax, of which only a part will actually be used to improve local facilities?

I would think most yachtsmen do not place high demands on the general facilities on an area, other than for those for which they already make a payment.

Marine tourism is a key sector for Scotland, generating £594 million Gross Value Added (GVA) and employment for 28,300 people in 2017. The long-term trend from 2008 to 2017 showed marine tourism GVA increased by 28% and employment by 16%.

Specifically, sailing and boating are together estimated to generate £84 million in gross value added (GVA) and 3,100 full-time equivalent (FTE) jobs, many in rural and fragile coastal communities, the Economic Value of Boating Tourism in Scotland Survey 2022 has found.

Perhaps some people need to remember there is an old saying “Don’t kill the goose that lays the golden eggs”.

Just another Government general tax in an attempt to balance the books?

 

[Tranona]

Such taxes are very common in Europe. They are collected by the provider of the accommodation and itemised on the bill. in some countries (like Spain) they are applied visiting yachts in marinas (not those with long term contracts).

No doubt your super efficient government ill devise a set of rules as to where and when it applies as guidance to local councils, and to all sorts of pressure and pleading from groups who think they are being unfairly targeted. Normal political process when establishing a new tax.

 

[RunAgroundHard]

Tax due to tourism is already paid via many sources e.g. fuel duty, vat, duty on booze. It all goes to the exchequer for redistribution.

Tourism facilities are woeful in Scotland due to a lack of vision and planning. I don’t buy the fragile rural economies crap. Try buying a house or renting, insufficient stock and high prices, wealthy second home owners and retired. Many of the workers, earn good coin outside the areas.

Tax raised don’t pay for current services, any extra raised, won’t change that. The proposals are just another potential revenue stream that will contribute little to the areas concerned.

More money would be raised by legalising dope and taxing.

Tourism tax has being doing the rounds for a few years now.

 

[RunAgroundHard]

Visitor levy legislation introduced

 

[Tranona]

The idea of local tourism taxes is that they are local and the proceeds are ring fenced for tourism development in the local. That is what I understand about the proposals, so not a contribution to central government.

The purpose is to give local councils a source of revenue specifically so that they can show "vision and planning" using the revenue raised by the tax.

Edit Exactly as in the paper you posted as I was typing.

 

[RunAgroundHard]

The idea of local tourism taxes is that they are local and the proceeds are ring fenced for tourism development in the local. That is what I understand about the proposals, so not a contribution to central government.

The purpose is to give local councils a source of revenue specifically so that they can show "vision and planning" using the revenue raised by the tax.

Edit Exactly as in the paper you posted as I was typing.

Significant revenues are raised during the tourist season, that could be directed to local councils. For example, Visit Scotland heavily promote the various road trip networks. Fuel duty and VAT is significant during the season. The road network and facilities to manage the tourist burden do not get investment worthy of the demand, hence significant pressure is applied on existing facilities with associated overflow problems (literacy).

A bigger chunk of the revenue already generated (the delta between local business, resident spend and tourist spend) could stay in these areas.

The consultation numbers, another link in the link above, are terrible. Accommodation providers in Edinburgh are not happy.

 

[awol]

Powers to charge double the Council Tax on 2nd homes are due to come into force in April 2024. Seems like a good idea but I wonder what the unintended consequences will be.
Meanwhile, there is a water shortage in Scotland!

 

[srm]

I suspect that the majority of politicians are convinced that they have wonderful answers while totally failing to understand the basic situation they think they are solving.
When living in the Scottish islands I occasionally had a bit of fun by asking detailed questions such as the OP raises to my MSPs (the list system gives you a choice) and see how they waffle or dodge in response.
I suggest the OP sends his questions to his MSPs and posts their responses here.

Edit: MSPs not MEPs to correct typo.

 

[bedouin]

I suggest the OP sends his questions to his MEPs and posts their responses here.

Will I be banned if I point out Scotland doesn't have many MEPs these days

 

[Fr J Hackett]

Powers to charge double the Council Tax on 2nd homes are due to come into force in April 2024. Seems like a good idea but I wonder what the unintended consequences will be.
Meanwhile, there is a water shortage in Scotland!

I have friends that have an apartment in Oban and have decided to sell it and that figured in their thinking, they spent a lot of time there and money which went into the local economy.

 

[Daydream believer]

I have friends that have an apartment in Oban and have decided to sell it and that figured in their thinking, they spent a lot of time there and money which went into the local economy.

Did they make a profit on the sale of the property?
I did -- & took it home with me
Sorta kills the point really, because the profit was more than I spent & the local buyer had to pay more for the house. So in 14 years of ownership one might ask, what I put into the local economy?-- Zilch

But before any one asks--I ain't giving it back, I spent it on a German boat

 

[Fr J Hackett]

Did they make a profit on the sale of the property?
I did -- & took it home with me
Sorta kills the point really, because the profit was more than I spent & the local buyer had to pay more for the house. So in 14 years of ownership one might ask, what I put into the local economy-- Zilch

But before any one asks--I ain't giving it back, I spent it on a German boat

Yet to be seen but they expect to and like you it will return south of the border.

 

[srm]

Will I be banned if I point out Scotland doesn't have many MEPs these days

Opps, sorry. Should have said MSPs. Only one letter wrong but a big difference.

 

[Tranona]

Significant revenues are raised during the tourist season, that could be directed to local councils. For example, Visit Scotland heavily promote the various road trip networks. Fuel duty and VAT is significant during the season. The road network and facilities to manage the tourist burden do not get investment worthy of the demand, hence significant pressure is applied on existing facilities with associated overflow problems (literacy).

A bigger chunk of the revenue already generated (the delta between local business, resident spend and tourist spend) could stay in these areas.

The consultation numbers, another link in the link above, are terrible. Accommodation providers in Edinburgh are not happy.

What else would you expect? It is a divisive issue and the political process of consultation and debate is supposed to find a consensus. Hardly surprising that one particular well funded lobby group who believe it would not be in their interest is unhappy.

As for funding tourism related facilities from general taxation revenues, this has always been an issue in just the same way as other lobby groups think they are hard done by. For example why is road fund revenues and VAT on fuel not allocated directly to improving roads, installing more chargers and so on. The government is trying to find a way of funding for local tourist facilities that is outside that debate.

The particular issues you raise are part of the debate not the solution.

 

[Neeves]

It is reported that the Scottish Government has unveiled plans for a Visitor Tax that would allow councils to impose a tax in any form of overnight accommodation. My newspaper includes the comment that;

“it would be chargeable on the overnight parking of a campervan at a campsite or the mooring of a yacht.”

And a comment from 'down under'

Realistically - how are they going to charge someone anchoring, or parking their camper van, in some isolated location (of which, when I was there, there are many such locations).

It might be sensible in very popular locations (anchorages) but if the tax is onerous it will lead to people selecting isolated locations and then not frequenting the local facilities, If the tax is nominal it will be expensive to levy

Seems daft to me - tourism should be encouraged - not funding tax collectors.

Jonathan

 

[Fr J Hackett]

And a comment from 'down under'

Realistically - how are they going to charge someone anchoring, or parking their camper van, in some isolated location (of which, when I was there, there are many such locations).

It might be sensible in very popular locations (anchorages) but if the tax is onerous it will lead to people selecting isolated locations and then not frequenting the local facilities, If the tax is nominal it will be expensive to levy

Seems daft to me - tourism should be encouraged - not funding tax collectors.

Jonathan

It will focus on hotel rooms, air bn b, marinas and camp sites all low hanging fruit and the operators will be responsible for collecting it and paying it, the small number of yachts that anchor or are missed won't be significant.

 

[srm]

In the last few years I have paid Tourist Tax on visits to Porto and Lisbon. I think it was a fairly nominal fee compared to the nightly rates in hotels or Airbnb rentals of around 2 euro/person/night. Both are cities with a bit of a problem from too many tourists so no worries if it deters a few.
No idea how they spend the tax.

 

[awol]

ChatGPT reckons:
"Implementing a visitor tax on hotel and other overnight stays is a practical approach to generate revenue for local communities. It helps fund infrastructure improvements, such as transportation and public amenities, benefiting both tourists and residents. Moreover, it ensures a fair distribution of the financial burden, with visitors contributing directly to the resources they enjoy during their stay."

 

[Daydream believer]

ChatGPT reckons:
It helps fund infrastructure improvements, such as transportation and public amenities, benefiting both tourists and residents.

How much of it will go to farmers, who keep the countryside looking pristine, for those visitors to admire, with all the sheep & cattle, roaming the hills & valleys? Or will the farms be closed, thus letting the whole lot go to pot- in the name of net zero? - or housing, for those who arrive & decide to stay?

 

[Mister E]

Manchester has already introduced a £1per night tourist tax.
Why not complain about this and refuse to take your boat there?