State Of Yucatan Expands Tax Regularization For Digital Hosting Programs
Updated: May 3, 2021
As of Feb. 1, Expedia Group's VRBO joins the list of platforms that comply with these regulations.
MEXICO - March 19th, 2021 - With the aim of creating better conditions for competition in the lodging industry, the is promoting the regularization of taxes for digital lodging platforms through the fulfillment of contributions of the state’s lodging tax, which is currently 5%. As part of these actions, as of Feb. 1, Expedia Group's VRBO joins the list of platforms that comply with these regulations.
Yucatán is one of three pioneer states joining the alliance with this platform, as it did with Airbnb previously, providing greater economic resources that will allow the state government to increase investment in tourism promotion and development.
In this regard, Michelle Fridman, Head of the Yucatán State Ministry of Tourism, pointed out that “the tax regularization of digital hosting platforms contributes to improving competitive conditions with respect to traditional hotels, which, in Yucatán, represent a total of 540 establishments with 14,660 rooms, which contribute with their state taxes and generate local employment.”
For his part, Walter González, Manager of Corporate and Government Affairs of Expedia Group, described this event as a success, since, by aligning VRBO with the compliance of tax obligations in the entity, the basis is established for the creation of a regulatory framework to eradicate harmful practices, democratize activities and, at the same time, contribute to the community.
According to information from the DataTur Program, Yucatán in 2019 reached a record number of more than 2.1 million visitors staying overnight in lodging establishments, with 75% being domestic travelers and 25% foreigners. “In 2020, the pandemic represented an important challenge for accommodation establishments due to the limitations on mobility and the sanitary restrictions imposed, so actions such as collection on digital platforms will allow Yucatán to have more resources to promote the arrival of visitors, as sanitary conditions permit,” Fridman said.
With these actions, the Yucatán State Ministry of Tourism reiterates its commitment to guaranteeing the quality of tourist services and it encourages visitors who use digital platforms to verify that they comply with current tax obligations.
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