A project that seeks the elimination of VAT for foreign tourists visiting Argentina, as well as a tax refund for local travelers was the proposal presented by the Gastronomic Hotel Business Federation of the Argentine Republic (Fehgra) on the closing day of Hotelga 2011.
The president of Fehgra, Óscar Ghezzi, told HOTEL MANAGEMENT in a telephone dialogue that although the project has not been filed and has no deadline to enter into force, talks have already been held with the tax directorate and some national deputies who could promote the initiative.
"Tourism is an export, not traditional, but an export at the end of the day. That is why we believe that exempting international travelers from VAT on tourist and hotel services is a way to encourage the activities of the sector, "said Ghezzi and reported that today the collection of taxes to foreigners is 20%, on average.
If approved, the measure would also benefit the locals, who would be deducted from the annual amounts the value they have paid for VAT to tourist and hotel services.
