If you’re planning a trip to Florida, you may have encountered the term “resort tax” in your research. It can be confusing to understand exactly what this tax is and how it affects your vacation. In this article, we’ll explain everything you need to know about resort tax in Florida.
What is Resort Tax?
Resort tax, also known as tourist development tax or bed tax, is a tax imposed on visitors who stay in accommodations such as hotels, motels, vacation rentals, and campgrounds. The revenue generated from this tax is used to fund tourism-related projects and services that benefit the community.
How much is Resort Tax in Florida?
The amount of resort tax varies depending on the county you’re visiting in Florida. The state allows counties to levy up to 6% on top of the state sales tax of 6%.
Some counties may also impose an additional local option tourist development tax of up to 2%. Therefore, visitors can expect to pay anywhere from 6% to 13% in resort taxes on their accommodation fees.
What services are funded by Resort Tax?
The revenue generated from resort taxes is typically used for tourism marketing and promotion efforts, beach renourishment projects, convention centers and sports facilities construction or renovation, and other tourism-related projects and services that benefit the community.
How do I pay Resort Tax?
Visitors are required to pay resort taxes directly to their accommodation provider at the time of check-in. The amount of resort taxes will be included in your total accommodation fees.
The Benefits of Resort Tax
While paying an additional tax may not seem appealing at first glance, there are several benefits that come with resort taxes:
- Funding for tourism-related projects: As mentioned earlier, the revenue generated from resort taxes is used to fund projects and services that benefit the community. This includes beach renourishment, sports facilities construction or renovation, and other tourism-related projects.
These projects help to attract more visitors to the area and promote economic growth.
- Improved infrastructure: Resort taxes are also used to improve the infrastructure of tourist areas. This includes road improvements, public transportation systems, and other amenities that make it easier for visitors to get around and enjoy their stay.
- Preservation of natural resources: Many tourism-related projects funded by resort taxes are geared towards preserving natural resources such as beaches, wetlands, and wildlife habitats. This helps to ensure that these resources remain intact for future generations of visitors to enjoy.
In Conclusion
Resort tax may seem like an extra expense when planning your Florida vacation, but it serves an important purpose in funding tourism-related projects that benefit both visitors and local communities. By understanding what resort tax is, how much it costs, and what it funds, you can better prepare for your trip and appreciate the benefits it provides.