"Tourist Tax: how difficult can it be?"
5.344 different tax rates in ONE city, that's how hard it can be!
โ๐๐๐ฎ ๐๐ค๐ฃโ๐ฉ ๐ฅ๐ก๐๐ฉ๐๐ค๐ง๐ข๐จ ๐๐ค ๐๐ฉ ๐ฉ๐๐๐ข๐จ๐๐ก๐ซ๐๐จ?"
Two weeks ago, we announced that we sourced all Swiss data on tourist tax into our platform. This data is, amongst others, used by online booking platforms to calculate and, where applicable, collect the correct rates on their bookings. This may sound like a simple process and in fact, we often get the question, "Why don't booking platforms just collect this data themselves?" Because it's a bit more complicated than you might think.
๐ญ๐ฌ๐ฌ.๐ฌ๐ฌ'๐ ๐ผ๐ณ ๐ฟ๐ฎ๐๐ฒ๐
A telling example is Verona, Italy. Here you come across 5.344 (!) possible scenarios that have a rate...yes, thatโs five-thousand, three-hundred and forty-four.
Not only can municipalities themselves have very complex rule structures (like Verona) tourist tax rates commonly vary for each municipality. This leads to tens-of-thousands of different tax rates. Across the world? Yes, also. But in Italy alone youโll come close to 200.000 different rates.
โ๐๐๐๐ฉ ๐๐๐ฃโ๐ฉ ๐๐ ๐ฉ๐ง๐ช๐, ๐ง๐๐๐๐ฉ?โ
But how can that be, I hear you wonder? Letโs zoom in on our example in Verona.
- The applicable tourist tax rate depends on:
- The type of accommodation;
- The number of stars of the accommodation;
- The age of the guest(s);
- The group size, and;
- Whether the online platform has an agreement with the government or not.
This all leads to 5.344 different scenarios. Obviously, it is nearly impossible to comply with tax rules like this if you donโt radically simplify your approach. However, At Trippz, we believe that our customers shouldnโt worry about simplifying their approach. We do that for with a unique data model.
๐ โโ๐๐ถ๐บ๐ฝ๐น๐ฒโโ ๐๐ผ๐น๐๐๐ถ๐ผ๐ป ๐ณ๐ผ๐ฟ ๐ฎ ๐ฐ๐ผ๐บ๐ฝ๐น๐ฒ๐ ๐ฝ๐ฟ๐ผ๐ฏ๐น๐ฒ๐บ
Our unified data model represents all different tourist tax scenarios in the same way. This removes the complexity of all these pricing structures and transforms these into one single data stream, which online booking platforms can integrate into their systems. With almost 30 countries so far, including the tourist tax in the Netherlands, we cover many major tourist destinations. Are you looking to comply at scale with local tourist tax regulations? Look no more!
๐ณ๐ฑ ๐ซ๐ท๐จ๐ญ๐ฎ๐น๐ช๐ธ๐ฆ๐น๐จ๐ฆ๐ฒ๐ฝ๐ฎ๐ณ๐น๐ท๐ธ๐ฒ๐ฒ๐น๐ฉ๐ช๐ด๓ ง๓ ข๓ ฅ๓ ฎ๓ ง๓ ฟ๐ฌ๐ง๐ฌ๐ท๐ฉ๐ฐ
