With news that the travel sector faces unprecedented job losses, what better way to re-ignite the industry with a tax credit, encouraging people to book trips.
Back in June, a new plan circulated Congress and the White House known as the “Explore America” Tax Credit. The proposal called for up to $4,000 in tax breaks for vacation expenses at hotels, theme parks and other tourism businesses through the end of 2021.
Outgoing President Donald J. Trump was a supporter, as was the U.S. Travel Association and several other companies and organizations, but calls for the tax credit faded over the summer as stimulus proposals stalled.
At the 42nd annual NYU International Hospitality Industry Investment Conference the tax credit came up once again during a virtual panel discussion with industry leaders, including U.S. Travel Association president and CEO Roger Dow, Andy Ingraham, the president, founder and CEO of the National Association of Black Hotel Owners, Operators and Developers (Nabhood); Chip Rogers, American Hotel and Lodging Association (AHLA) president and CEO; and president and CEO Cecil Staton of the Asian American Hotel Owners Association (AAHOA).
“We’ve proposed a tax credit for travel, and we want to show people that it’s addictive because when people travel, they spend money and they create jobs,” said Dow. “We think it’s one of the easiest ways to get travel moving again.”
Rogers, American Hotel and Lodging Association (AHLA) president and CEO, echoed Dow’s sentiment.
“We’ve for years been trying to tell our story about how impactful our industry is on local economies, and sometimes I felt like we were trying to convince people of something that they didn’t want to be convinced about,” he said. “They’re convinced now. Now, the question is how much are they willing to invest in it?”