Maui is making an attempt to make it costlier to go to as Hawaii continues to be overcrowded with guests
Visitors to Maui, Hawaii could soon experience higher taxes as officials rush to introduce a new tax rate.
Hawaii Counties can now introduce a 3% tax increase on hotels and rentals on top of the existing 10%.
The counties are allowed to keep the 3% for their own use, while the 10% goes back to the state.
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Tourists traveling to Maui, Hawaii could soon face higher taxes, the Associated Press reported.
On July 6, state lawmakers exaggerated Hawaii’s governor David Ige’s veto of a bill that would allow counties to introduce their own 3% “temporary lodging tax” increase aimed at short-term rentals such as hotels. The bill also included changes to funding for the Hawaii Tourism Authority.
Now officials in Maui are working to implement this tax change “as soon as possible.” [they] Maui County council chair Alice Lee told Hawaii News Now’s Chelsea Davis.
Before that, Hawaii had a hotel tax rate of 10%, and the state then distributed that money to each district. However, Oahu, Hawaii usually received the most funding because of its larger population, although Maui receives more tourists per capita.
“Maui is just overrun with tourists,” Sylvia Luke, a representative for the state, told Hawaii News Now.
But now counties can set and maintain their own additional tax increase of 3% on top of the existing 10%, which is still going back to the state.
According to Lee, this move could nearly triple Maui’s sales. However, some tourists say this new law “takes advantage” of visitors, especially as Hawaii is again being overwhelmed with summer vacationers.
Brian Perry, a spokesman for Maui County’s Mayor Michael Victorino, previously told Hawaii News Now’s Rick Daysog that the county “does not have enough time to prepare for the sudden, large influx of tourism, even if health restrictions remain in place “.
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