TAT Up 1% Point Tomorrow

Aloha Kakou:

Hawaii's Transient Accommodations Tax is slated to increase by one percentage point on July 1. Combined with last year's one percentage point increase, the TAT has increased by 30% since the first half of 2009.

Said Richard Kelley, head of Outrigger Hotels and Resorts, "Politicians think they can get away with it because visitors don't vote. But they do. Not at the ballot box, but with their pocketbooks."


While Maui's combined TAT and General Excise Tax percentages are lower than many other destinations, the higher room rates can mean more dollars out of pocket to pay the tax.

Hawaii's legislature mandated the tax increase to help close state budget gaps. This year, Maui County expects to receive about $23 million out of the total statewide TAT take of $100 million.

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