2005News

Tourism Fund proposed

The National Association of Hoteles (Asonahores), the Association of Airlines and the National Association of Private Airport Operators have reached an agreement with the Ministry of Tourism to prepare a bill fostering the creation of a Trust Fund to manage resources for international promotion, construction and maintenance of infrastructures in tourism destinations, as reported in Hoy newspaper. Asonahores announced that the plan is to prepare a joint document which will be presented by the government to Congress on 16 August together with the fiscal reform package that is under discussion now by government, legislators, political parties and the business sector. On Friday, a commission headed by the president of Asonahores, Enrique de Marchena Kaluche, visited the Tourism Minister Felix Jimenez to explain the tourism business sector’s position. The tourism business sector was commenting on Decree 336-05 that would add a US$10 charge to airfares to the Dominican Republic.

De Marchena explained that during the meeting, Jimenez said he would support Asonahores’ position on fiscal reform. Asonahores wants the tourism industry to be taxed with a lower ITBIS (VAT) given it is an export sector. Likewise, they seek a reduction in the tax on property and that this be accepted as an advance payment on income tax. They also propose eliminating the luxury selective consumer tax on items for use in the hotel industry.