No menu items!

COSTA RICA'S LEADING ENGLISH LANGUAGE NEWSPAPER

HomeArchiveBill would cut Costa Rica hotel tax, add $15 to airfare

Bill would cut Costa Rica hotel tax, add $15 to airfare

Frugal travelers might be happy to hear that the 3 percent hotel tax in Costa Rica could soon be a thing of the past.

The bad news is that the lost revenue to the government would be made up in the form of a $15 fee on all airfares to Costa Rica, according to a bill recently presented to the floor of the Legislative Assembly.

In a week, spending $15 a night at hostels, budget travelers pay about $3.15 in taxes.

The point of the legislation, says Maureen Ballestero, a legislator from the majority National Liberation Party (PLN) and president of the commission that drafted the bill, is to increase funding to the Costa Rican Tourism Board (ICT).

Money from the 3 percent tax is sent to the ICT for tourism promotion, marketing and planning.

However, with more and more visitors to Costa Rica staying in condos and vacation homes, and therefore not paying the hotel tax, legislators felt it was time to update the system, Ballestero said.

The legislator also said some hotels avoid charging their guests the tax by not properly registering them.

“There are more hotels, more visitors, but the income (from the 3 percent tax) has pretty much stayed the same,” she said.

The numbers, however, do not appear to support Ballestero´s claim, as hotel tax revenues seem to be tracking visitation.

In 2006, ICT received about $7.9 million from the hotel tax, an increase of about 19.7 over 2005´s hotel tax revenues of $6.6 million.

Visitation during that same period was flat, with about 1.8 million visitors coming to Costa Rica in 2006, up slightly from the 1.7 million measured in 2005.

In recent months, tourism growth has slowed over last year.

Meanwhile, Panama, which has been challenging Costa Rica´s throne as the premier Central American destination, tourist arrivals increased by 24 percent in the first six months.

Trending Now

Rain Alert Covers Four Areas of Costa Rica Through Wednesday

Two tropical waves are crossing the country and the ground is already saturated. Check your route before you drive this weekend.

Part of alleged Costa Rica data leak is real. Here’s how to protect yourself

Authorities confirm part of a sample of leaked data on people in Costa Rica is real. The source is still unknown. Here is what you should do now.

Costa Rica Braces for Higher Fuel Prices as Oil Climbs Back Above $100

Global oil prices climbed back above $100 a barrel this week, and the increase is on course to reach Costa Rica's gas stations within...

Celso Gamboa’s lawyers want his Texas trial pushed into 2027

Celso Gamboa's US attorney has asked a Texas federal court for a 120-day delay, citing the volume of evidence and a new defense inquiry underway in Costa Rica.

Costa Rica Independence Torch Travels Toward San José and Cartago

Costa Rica’s Independence Torch is set to reach San José and Cartago tonight after coming from Nicaragua yesterday for the annual student relay marking...

Beginner’s Guide to Scuba Diving in Costa Rica

Learning to scuba dive in Costa Rica takes three days. Here is what it costs, where beginners should start, and when to go.

Shelton Reaches First Grand Slam Final After US Open Comeback

Ben Shelton moved within one victory of ending a 23-year wait for an American men’s Grand Slam singles champion after beating Frances Tiafoe on...

Costa Rica Independence Day 2026 Brings a Tuesday Holiday and Rain

Plan for rain, road closures and holiday pay rules as Costa Rica marks 205 years of independence on Tuesday, September 15.

Magnitude 5.3 Costa Rica Earthquake Shakes The Southern Pacific Before Dawn

A magnitude 5.3 earthquake shook the southern Pacific region of Costa Rica early this morning, surprising residents there and in parts of the Central...
Avatar
🌴 The Weekly Pura Vida

Costa Rica, Once a Week

The week's top stories, weather & insider tips — delivered every Sunday. One email, zero clutter.

🔒 Free. No spam. Unsubscribe anytime.

Loading…

Latest News from Costa Rica

Costa Rica Coffee Maker Chorreador
Costa Rica Car Rentals
Costa Rica Travel Insurance
Costa Rica Travel