• US Hotels' Tax Contributions Estimated To Have Grown $5.6 Billion Since Pandemic

    New analysis of governmental data by Oxford Economics and the American Hotel & Lodging Association show a $5.6 billion spike in state and local taxes paid by hotels across the U.S.

    The jump from $41.1 billion in 2019 to an estimated $46.7 billion for 2023 represents a 13.6% increase. Driven by the pandemic, 2020 saw a dramatic decrease in taxes from 2019 — down $13.2 billion before both travel demand and tax bills rebounded.

    “Hotels are making significant strides toward recovery, supporting millions of good-paying jobs and generating billions in state and local tax revenue in communities across the nation,” AHLA President and CEO Chip Rogers said in a news release publicizing the figures. “To continue growing, we need to hire more people. Fortunately, there’s never been a better time to be a hotel employee, with wages, benefits, flexibility and upward mobility better than ever before.”

    Among the states, Florida is slated to see both the highest gross and percentage change in tax payments, with its $765.8 million jump to just over $4 billion marking a 23.5% increase.

    California has the highest overall amount paid in taxes for the year — slated at roughly $5.5 billion, with a $600.5 million or 12.2% increase compared to 2019.

    No state is expected to see a decrease in tax revenue from hotels, but the District of Columbia is slated for a 1.1% drop — roughly $4.9 million — from 2019 figures to $423.4 million.

    Source: www.CoStar.com