More taxes are confirmed for your Hawaii hotel or vacation rental. Prepare for some sticker shock.
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More taxes are confirmed for your Hawaii hotel or vacation rental. Prepare for some sticker shock.
Get Breaking Hawaii Travel News
Why have the HTA spend $100 million to encourge tourism, then, at the same time be looking for ways to limit the number of tourists? Hawaii is the most screwed up place I can think of.
Maui may be pricing many people out of range for a vacation there. East coast travelers may indeed decide to stay and travel to Florida or the Caribbean since it is much closer with not much need of a rental car.
I find it disheartening that the state continues to raise the cost of travel to the hawaiian islands. It seams as though they don’t want travel to resume. I love going to Hawaii but they are pricing my family out of their state. Thank you for the wonderful memories.
Same here😕
Every government agency in Hawaii is either completely incompetent, corrupt, inept, wasteful–or in many cases–all of the above. The HTA is no different. The state and counties’ complete (mis)handling of the recent epidemic simply highlighted the same basic problems that plague EVERY Hawaiian state and county agency. When you live off tourism for decades, frankly, you just get lazy, stupid people in every key government position. And Hawaiian voters are well-known for electing officials who simply promise and /or deliver more free hand-outs.
Unfortunately this race to the bottom won’t end until the state and counties have crumbled to the ground completely and have been buried in debt. (The state was over $10,000,000,000 in debt BEFORE the pandemic… that number is proably more like $12 to $13 billion now.)
For as long as there have been tourists and travelers and pilgrims there have been thieves and highwayman to waylay and rob them along their journeys. In some places they use guns and knives… in Hawaii they use taxes and fees.
Hawaii is pricing themselves out of the travel market with the added taxes. With the influx of people coming to visit now that should help a lot. Hawaii says it is overwhelmed with tourists. Shouldn’t that help recover from the loss during the pandemic? We love to come and truly love Hawaii. I hope that the extra taxes will go to help the working people who are struggling. Will that happen? Will they help keep the hotels and other accommodations open?
Mahalo for the article, I hadn’t understood this from the Maui Now’s article. Yesterday I was looking at some condos on VRBO and was surprised at the “resort” fees, “admin fees”, this on top of the VRBO service fees and cleaning. A 4% tax raise should really the least of people’s worries, imho.
Lanell
Seems like it would be aot simpler to just put up “NO TOURISM” signs! With special tourist only fees for parking and entering sightseeing locations, ridiculous car rental rates, and now an increased accommodations tax, it is clear that the State is becoming very anti-tourism.
If you don’t want us or our money, why not be up-front about it and say so. The state can use a those empty hotel rooms to support the many new homeless they will create.
Totally agree. As far as I’m concerned, it’s sanctioned extortion of tourists. It’s also astounding to me how the fees keep going up and yet there is no sign of it helping those who need it most. The homeless population (at least on Oahu) is exploding. It is horrible & immoral that none of this revenue seems to be used in a way that can alleviating the suffering.
We were charged 18% tax on our hotels in the Caribbean Islands over 30 years ago. It’s part of traveling.
Its obvious Hawaii wants to return to its uncivilized, primitive private little islands. The state has demonstrated that again and again by taxing the heck out of tourists and making it difficult for them to tour Hawaii. The governor has forgotten that HawIi IS part of the USA and that in the USA we are free to travel between states as we desire. Hawaii complained during covid that there was no income from tourism. Now they are complaining because they think there is too much tourism.
Now the state is trying to make it impossible for people to afford visiting the state by increasing fees and taxes. Shame on you all over there!
Wow, can’t imagine want they’d not want you to visit. /s
Florida is calling!
I just can’t let this comment go. Your sense of entitlement is breathtaking.
“Uncivilized, primative”? please stay home and keep your hateful attitudes with you.
Peggy I live in Michigan and since GM has pulled most of their business out of the state, we rely more and more on tourism dollars, yes sometimes it feels like one more festival or traffic jam will be to much; but it is a beautiful state surrounded by water and we love to share its beauty. I would welcome you here anytime.
If COVID-19 taught us anything it should be the aloha spirit that should be shared across the world.
Creed should not take over or our lesson was not learned. We are better together!
Together is definitely better, that is why I was so taken aback by this sentence:
“Its obvious Hawaii wants to return to its uncivilized, primitive private little islands.”
It’s depressing to read this sentiment in this day and age.
For my family, visiting Hanauma Bay is now out of the question. It’s just too expensive, so we’ll search for other locales on the islands to explore. If they bite the hand that feeds them, HTA and counties may get more money through the accommodations tax, but the trade off may be less discretionary money spent at the local businesses. Sad. My frustration is that not all locals pay an amount in taxes that would equal the add-ons costs that are being placed on the tourist. The line that ‘locals are free and visitors pay’ doesn’t set well. There are many beautiful third-world places in the world. Hawaii should quit striving to become one of them by alienating tourists. They need tourism more than tourists need Hawaii.
Well said
This additional tax may help in reducing the number of people who come to the islands for a vacation.
I think more important is doing an independent audit for toast three years to see exactly how much was taken in, how it was spent and what the percentage of tourist who came to Hawaii on a three rolling average.
Bye Hawaii.
Loved you for 35 years, but it’s now apparent the feeling is not mutual. All you want is money.
Thanks for this information on policies that may kill the goose that is Hawaii tourism. Adding nearly 20 percent to lodging costs combined with a lack of rental cars and confusing Covid rules should do more to turn away potential visitors than anything the state has done before. Sad. We were frequent visitors for than two decades. No more.
Will they be adding this charge to existing reservations? We are going next summer. Thanks for keeping us up to date on all news Hawaii.
Hi Lori.
We would certainly believe that will be added to all upcoming reservations unless they have been deemed paid in full, and perhaps even then.
Aloha.
Hawaii remains the highest Unemployment State in the Nation, Governor Ige decided months ago to take the 10.25% Tourism Tax and place it on the States General Fund, forcing Oahu, Maui, Kauai, Hawaii, Molokai and Lanai to act Independently! Despite the States Unemployment Compensation being upside down by $500,000,000.00, the Governor still had the Lockdown in place and mandates that restricted Businesses from getting up to speed, given the weight of Federal Funds added to compensation. We postponed 3 times from March 2020, to September (Moana had not re-opened), to May 2021, before finally deciding things will hopefully back up to speed by January 2022. The State can say what it wants, but Business is what drives Tourism, the demand is there, but, as so many a Reports have claimed, there is a mixed reaction as to returning Guests, that it wasn’t as good as they remembered, the State has to understand it’s responsibility in the equation, which is Business, not Politics!
Got to love that aloha spirit. Not only are they raising accommodations taxes but Maui is also attempting to pass a bill to limit tourists access to county beach parking while charging them to park at the few spaces that remain. They have already added user fees plus car fees to the state beaches. What’s next, charging them to walk down the street?
This is fastly becoming one of the least hospitable places on the planet. If they hate tourists so much why allow them to come in at all?
I didn’t think much about it myself before moving here, but I’d suggest studying up on the history of Hawaii, the importance Hawaiians place on taking care of the land, and the negative impacts of tourism here. Sure, there are probably some people who would prefer no tourists at all, but I think many people accept tourists as needed for the economy as long as it’s not destructive to the environment and allows for locals to continue to enjoy their land. Currently, that is not the case. With your attitude, I don’t think anyone will miss your presence here, but I can understand you may just be angry in the moment.
I’m shocked. Our trip is in jeopardy. A place for the rich for sure. You’d think with the lack of tourism during covid, they would do things to encourage visitors. Sad.
The islands are pricing the average tourist out of coming. In the long run they will loose more money. I belong to HGVC and pay taxes every year we try and visit every two years ususally I have 6 to 10 people with me, not if this keeps happening.
It feels like Hawaii really just doesn’t welcome tourism and does not want us back to visit. If Hawaii continues in this path, I have no problem in pulling the plug and cancelling my upcoming trip. We have a group of 17 coming to visit 2 islands over 2 weeks. I believe we would be well contributing to the travel dollars. If Hawaii doesn’t want us, I’m sure we will easily find vacation spots that would welcome us. This saddens me. I have been planning this trip for a few years and was really looking forward to it. Now I just cringe whenever I read the latest information.
While I partly understand the need for the increase, Hawaii is showing again that it doesn’t value visitors. With this extra tax and the cost of car rental, traveling to Hawaii is becoming prohibitive. We hope to still come soon, but I am thinking we may have to look at other destinations. This will be a very sad decision if we choose not to come.
If tourists, such as myself, are not carrying their financial weight something has to change. The infrastructure cannot sustain millions of visitors that don’t pay their share.
Not everyone vacations in St Bart. Sorry, that’s just the way it is.
Is there a tax on award nights, such as a Hyatt award night?
When do the new taxes take effect? We are arriving in October and still need to book a place. I’ll book today if taxes are going to go up asap. This will be our last trip to the islands for a very long time. They don’t want anymore business from visitors and therefore, will destroy their state and its people. Way to go, Hawaii!! So sad!!
Another reason nit to return there unfortunately.
And, I’ll notify all friends/family so they can go elsewhere.
Taxing fools.
“HTA has been spending about $100 Million annually to help market Hawaii”
WHY!!!
They don’t want visitors!!!
Use the money for schools, roads, repairs!!
Why spend money to encourage visitors when all you do is bitch about visitors!!
I can’t tell for sure when the new tax will take effect. Does it start today? An internet search was not helpful. I would think it would some time to implement a new tax policy.
thank you for the information. I have 4 condos that have been used for renters. My property taxes alone went up 8.4% for next year. I am therefore going to exit the rental market with these new onerous taxes coming. I am going to sell the condos to homeowners who will be able to claim homestead exemption on them. In addition to losing all the rental taxes the state and county will also lose the property taxes that they have continually raised. It might be a beautiful place to live but I will be moving elsewhere. I doubt if I will be the only one making this decision.
Hi Bob.
Thanks for your input. Yes, the taxes on rental property are onerous.
Aloha.
HTA is not accountable to any expectations since there aren’t any!
Why throw more money to an anonymous operation?
This is a way to say “No Aloha” to visitors.
Needless to say, as a vacation rental owner, I am very disappointed. The tax rate is already exceedingly high and now it looks like it will be 3% higher. For those who have already booked, I will not be able to add on any additional tax as the contract has been signed. So, I will lose the 3% additional tax monies on booked reservations once it’s implimented. Let’s hope they give us notice as to when the increasse will take place so that future bookings can reflect the higher tax rate.
We are so thankful for your dedication and efforts this past year. Your work is priceless.
So, is the State helping or further harming tourism by such a move at this critical time? We will (hopefully) be on Kauai and Oahu in September…may need to find work! Mahalo.
Hi Carl.
Thank you for the nice words and for your first-time comment. We hope to see you back again. Also, have a great time on Kauai and in Honolulu.
Aloha.
It will work short-term while people’s travel options are limited, but once the world opens up it will tip the balance in favour of going elsewhere. Not for everyone, but tax increases like this impact at the margins.
So just last week they wanted people to stop coming to Hawaii … now they want to charge them more to come? The HTA was spending $100 million annually to market the Islands. $100 million per year, but again they want people to stop coming because there are too many people coming. I guess the $100 million did its job. Am I understanding this correctly, that we as visitors will still be contributing to the $100 million and then pay this new tax directly to the county we visit? Hawaii is my favorite place on the planet and my husband and I endeavor to visit twice a year. THIS JUST MAKES ME MAD AND SAD.
Maybe stop paying the extra $300 per week in unemployment. How are they supposed to sustain that? People should be back to work.
As much as Maui is our second home, I think it’s time to look elsewhere. Inflation is bad enough, car rentals and now even more tax. Aloha Hawaii
My feelings on the tax….for some it will make no difference, but for the average family with a couple of kids in tow, or for most seniors on a fixed income, these taxes, on top of rising airfares, rental car fees, accommodations, food and gas prices, it will likely be the deal breaker for their once in a lifetime trip (or their annual winter get away.) The governor and the mayors chose to bankrupt the state with never-ending lockdowns and rule changes and now they are counting on penalizing the tourists to make up for their incompetency in handling the Covid crisis. Is anyone really surprised?
Thank goodness I know some people on the island and can stay there. With car rentals being ridiculously high and this it seems like Hawaii is going to experience a huge loss in tourism after this initial opening up phase.
Instead of paying $2.5k plus the insurance on a rental I might as well buy a cheap used car and give it to my friend after I leave 😂 crazy!!
It’s understandable with everything that happened but if prices keep going up I’d rather just invest 10k than blow it in Hawaii, which is by far my favorite place and I’ve traveled all over the world.
One benefit might be that everything’s won’t be super packed.
Better yet, rent it out on turo for a $100 a day and split it with your friend!
Please think carefully about this! Hawaii is such a lovely destination and is in my soul! We try to come every other year (owners at Marriotts Kauai Beach Club). We actually pay taxes to Hawaii on that ownership share each year. This action feels like we are truly being taken advantage of simply because we are tourists. Why penalize the very people that you need to sustain your economy?
Looks like less people will be going to Hawaii,keep raises prices nobody will go,I’m glad I went before prices went up,I went I’m mid May,where I stayed price went up $700.00 when I tried to book it later this year
If you already have a booking in November that is paid for already, will the new higher tax be added?
Aloha guys!
I have many thoughts on raising taxes. But the important question is, Why hasn’t the HTA been audited? Or have they?
Hi Claudia.
Not that we are aware of. Maybe that will happen, but we suspect not.
Aloha.
If they stated there was a lack of internal controls, it appears to me as a CPA they were audited. Try this link hawaiitourismauthority.org/who-we-are/annual-report/
Doesn’t pass the smell test.
Dumb question #1: why does the HTA have to spend $100 millions to market Hawaii?
Dumb question #2: if the governor originally veto the bill because he’s unsure about the productivity of the HTA, then why doesn’t HE do something to identify incorrect problems? Don’t they work for him??
Several other dumb questions come to mind, But I’m sure other readers can fill in the blanks