Laos will trail run tourist tax

Lao PDR will set in motion a test to collect a levy from visitors to support tourism marketing activities, but a launch date has not been confirmed.

Lao National Tourism Administration general-director, tourism marketing and promotion, Saly Phimphinith told TTR Weeklyandnbsp; last Friday the government had selected just two check points; Vang Tao at the border with Thailand's Ubon Ratchathani province and Huay Xay, bordering Chiang Rai province in Thailand. They were selected due to a steady flow of traffic; a mix of international and local visitors.

We want to see if the levy works and if so will gradually expand it to other checkpoints, said Mr Saly.It was only decided recently and the collecting procedures need to be discussed among stakeholders to streamline the process.Lao Tourism Market Board, founded late last year, has faced a problem sourcing funds to pay for promotions and came up with the idea of taxing touristsandnbsp; US$2 but US$1 for border pass holders.

The Lao government initially disagreed claiming it was contrary to its policy to streamline and offer fuss-free entry for visitors.LMTB was told to study other options through hotels or possibly increase visa and border pass fees but even those options are proving problematic.

LMTB marketing efforts cannot be launched until the issue is solved, said Mr Saly.The LMTB proposal was roundly criticised during the Mekong Tourism Forum in Pakse, last month,andnbsp; with leading travel executives arguing the government should pay for promotions out of taxes already collected from hotels and travel firms.

Source = ttrweekly