CASTRIES, St. Lucia – Following extensive consultation over the past two years with key stakeholders in the tourism industry, the Government of Saint Lucia  has announced that  it will enact a government tax called the “Tourism Levy”.

Revenue collected from this tax is earmarked for tourism marketing and development

According to a news release, beginning December 1, 2020, guests staying at registered accommodation service providers will be required to pay a prescribed nightly levy on their stay.  In the two tier system, guests will be charged US$3.00 or US$6.00 per person per night, depending on a room rate below or above US$120.00.  A rate of 50 per cent of the Tourism Levy will apply to guests who  will be 12 to 17 years of age at the end of their stay.  The fee will not apply to children under 12 years of age..

In addition, the Government of Saint Lucia with effect from December 1, 2020 will reduce the Value Added Tax (VAT) from ten percent to seven percent  for accommodation for tourism accommodation service providers.

The news release points out that the Tourism Levy will strengthen the ability for Saint Lucia as a tourism destination to increase its marketing and to support tourism development in Saint Lucia with a tax that correlates to visitor arrivals. Consequently, revenue raised

through this tax will be appropriated to the operations of the Saint Lucia Tourism Authority (SLTA), Village Tourism Development, and the Tourism Council – agencies mandated to undertake these tasks.

Tourism Minister-  Dominic Fedee said “Saint Lucia is well placed to continue along the trajectory of increasing its visitor arrival capacity and although we continue to navigate through this time of crisis, our aim is to ensure that the SLTA is self-sustainable.”

Several Caribbean countries such Antigua and Barbuda, Barbados, Belize, Jamaica, Saint Kitts and Nevis and Saint Vincent and the Grenadines have implemented similar levies on accommodation for visitors. 

With the implementation of the Tourism Levy and the reduction of VAT, this combination puts taxation on accommodation in Saint Lucia among the lowest in the OECS and CARICOM, and other tourist destinations globally, says the news release.