Confusion over tax increase for hotel stays

A jump in taxes for accommodation in Panama is worrying the tourism industry because the proposed increase from 10% to 11% has still not been resolved.

The delay is preventing wholesale contracts prices from being calculated.

Prensa.com reports: "This issue was expected to have been resolved on August 8. The authorities and hotel owners amended bureau statutes, and it was agreed that the organization will be a public-private partnership, but the meeting did not address the increase in the rate of accommodation
The hoteliers in the country, especially in the capital city, have expressed concerns since the Tourism Authority of Panama (ATP) still has not explained the scope of this increase.

It is presumed that the Tourism Authority of Panama (ATP) is evaluating other options to get the funds that would be granted by the new bureau, one of which is to redirect the allocation of $1 million that was designated for the operation of ATLAPA and could be available if they are able to auction the land which houses the convention center.