Death and taxes

Death and taxes

The handling of the draft 2023 budget in the Central Committee of Parliament produced some interesting information on the growing vacation rental market (see Wednesday paper). Five million Netherlands Antillean guilders has been projected in revenues from home-sharing.

According to Finance Minister Ardwell Irion, the amount is based on money generated via Airbnb last year. Government is testing software that facilitates collecting tax on such activities. He said authorities have started informing the persons and companies concerned of their fiscal obligations in this regard.

Computer technology lets them see how many of these properties there are and where, the number of days they were rented out, by whom and related earnings. The latter may sound like a spy movie, but it’s ultimately about everyone contributing their fair share to collective burdens of society.

Inhabitants making an extra buck this way might not be entirely happy with the approach. However, it is needed to help ensure at least somewhat of a level playing field in the dominant hospitality industry.

Getting accurate data remains important in such matters, as experience has shown. Efforts to introduce a so-called condo tax several years ago backfired because it assumed rental income that could not be substantiated.

Non-resident property owners are involved in home-sharing too, which is why a real estate tax especially for this group was being mentioned. Including them in home-sharing plans seems the preferred option.

As the saying goes, only two things are certain in life: Death and taxes.

The Daily Herald

Copyright © 2020 All copyrights on articles and/or content of The Caribbean Herald N.V. dba The Daily Herald are reserved.

Without permission of The Daily Herald no copyrighted content may be used by anyone.

Comodo SSL

Hosted by

© 2023 The Daily Herald. All Rights Reserved.