Business

Bureau Of Internal Revenue Reminds Tax Payers Of Hotel Room Tax Increase

ST. CROIX -- Director of the Virgin Islands Bureau of Internal Revenue, Marvin Pickering, in a press release BIR issued on Tuesday, is reminding hoteliers, timeshare developers and innkeepers that the hotel room tax will increase from 10 percent to 12.5 percent effective for hotel stays beginning January 1, 2016.    According to the release, the increased tax rate will apply to every guest that resides in a hotel, villa, time share, inn, or any other sleeping accommodations for a period of less than 90 days, beginning on the aforementioned date. The hotel room tax is 12.5 percent of the gross room rental, which includes the gross room rate plus any additional charges, such as energy surcharges and maintenance fees.  BIR is asking hoteliers to review the calculation of the hotel room tax to ensure that they are calculated in accordance with Title 33 section 54 of the Virgin Islands Code.  It adds that the 12.5 percent tax should be separately stated on invoices to alert guests to the a...