| The Tax Barometer is composed of four trip elements:
lodging, car rental, meals, and airport arrival and departure. Each element of the
trip is priced according to a standard purchase by a hypothetical "WTTC
Traveler" in each destination.
This trip includes
the purchase of four nights' lodging, four days'
car rental, twelve meals, and one set of international arrival and departure
airport charges. Taxes imposed on these purchases are then
identified, recorded, and developed into a sector index. Next, these elements are
aggregated into a composite index for the destination, based on the average cost of each
element included in the standardized trip. If you would like more information on the
development of the Tax Barometer, please refer to our research methodology. |
 |
Rank |
|
Total tax $ for 5-day/4-night trip: |
$345.79 |
52 |
|
Percentage of total item cost: |
18.73% |
46 |
|
Overall tax index: |
121 |
28 |
The first item in the above table represents
the combined tax total
paid by the WTTC Traveler in each of the four sectors in
Buenos Aires. The second
item (percentage of total
item cost)
indicates what percentage of the total bill
is devoted to taxes.
The last item (overall tax index)
reflects the cumulative change in the amount
of tax paid in U.S. dollars between June 1994 and
June 2002.
The rankings show
how Buenos Aires compares with other Tax Barometer cities; a ranking of 1
is most competitive, while a ranking of 52 is least competitive.
Summary:
Buenos Aires currently has an
overall Tax Barometer index of 121, indicating a
21% increase in
travel-related taxes since June 15, 1994.
This increase can be attributed to
increases in the lodging, restaurant and car rental
sectors. For a five-day, four-night trip to
Buenos Aires, travelers can expect to pay
approximately $346.00 in tourism-related
taxes, a total that ranks as the highest among all
surveyed destinations.
|
 |
Rank |
|
Average price for 4-day rental (mid-size) without taxes: |
$188.84 |
- |
|
Airport access fee: |
10.00% |
- |
|
Value added tax /consumption tax: |
21.00% |
- |
|
Total charges for 4-day rental with taxes: |
$247.38 |
- |
|
Total tax $ for 4-day rental: |
$58.54 |
35 |
|
Percentage of total car rental cost: |
23.66% |
37 |
|
Car rental tax index: |
172 |
43 |
|
Summary:
In 1994,
the only tax on car rentals in Buenos Aires was the 18.0% national
VAT. The Argentine consumption tax was raised three percentage
points in the inaugural Barometer, raising the tax to 21.0%. In
1999, a $20.00 airport access fee was introduced, but has since been
changed to 10.0% of the base rental price. Taxes on a four-day
rental total approximately $59.00, 18th highest among all surveyed
destinations. Buenos Aires' car rental index on 172, indicating
a 72% increase in taxes since 1994, is the 10th highest among all
destinations. |
 |
Rank |
|
Average price for 4-nights lodging without taxes: |
$939.90 |
- |
| Value
added tax /consumption tax: |
21.00% |
- |
| Total
charges for 4-nights lodging with taxes: |
$1137.27 |
- |
|
Total tax $ for four-nights: |
$197.37 |
52 |
|
Percentage of total hotel room cost: |
17.35% |
51 |
|
Hotel
tax index: |
117 |
37 |
Summary:
A 3.0% increase in
the Argentine national consumption tax affected hotel room tax rates
when it was introduced in 1995. While there have not been
subsequent increases in this rate, Buenos Aires still collects the
highest amount of total tax dollars for a five-day, four-night visit
among all surveyed destinations, and its 17% increase in taxes is the
13th highest such increase among all destinations. Over 17% of
the total lodging bill is devoted to taxes; only London collects a
greater percentage of the bill for taxes. |
 |
Rank |
|
Average price for 12 restaurant meals
without taxes: |
$381.61 |
- |
| Value
added tax/consumption tax: |
21.00% |
- |
|
Total charges for 12 meals with taxes: |
$461.74 |
- |
|
Total tax $ for 12 meals: |
$80.13 |
51 |
|
Percentage of total restaurant meals cost: |
17.35% |
47 |
|
Restaurant tax index: |
117 |
39 |
Summary: Buenos Aires collects an average of $80.00 in taxes
for 12 restaurant meals, the second highest amount among all
surveyed destinations. The index of 117, indicating a 17%
increase in collected tax dollars since 1994, is due to a 3.0%
increase in the Argentine consumption tax. |
 |
Rank |
|
International airport tax: |
ARS 18.00 |
 |
|
Customs and immigration services tax: |
ARS 10.00 |
- |
|
International security tax: |
$2.50 |
- |
|
Total tax $ for international arrival and departure: |
$9.75 |
6 |
|
Percentage of total trip cost: |
0.53% |
1 |
|
Air passenger tax index: |
70 |
2 |
(
in rank column indicates a tax decrease in Tax Barometer No. 11)
Summary:
Taxes on international airline passengers arriving to and departing
from Buenos Aires have decreased 30% since 1994, the second largest
such decrease among all surveyed destinations. Changes to this
sector include the introduction of two taxes not included in the base
index: the custom and immigration services tax, introduced in
1996 at a rate of $3.00 (since increased to ARS 10.00), and the
security tax, introduced in 1998 at a rate of $2.50. Also in
1998, the international airport tax was increased $4.00 to $18.00.
This tax was switched from US$ 18.00 to ARS 18.00 in 2002, and is
directly responsible for lowering the index. The $9.75 in taxes Buenos Aires collects from international airline
passengers ranks as the 6th lowest among all surveyed destinations.
This is somewhat misleading, however, as Argentina collects 5.00% on
the international portion of all fares for international travel
commencing in Argentina. This tax is not included in the Tax Barometer
because a tax amount cannot be accurately determined without knowing
the flight's end destination. |
 |
|
Barometer No. 1:
All sectors of the
Barometer were affected by a 3.0% increase in the Argentine
consumption tax.
Barometer No. 3:
A new immigration tax of US$ 3.00 was introduced,
affecting airline passengers.
Barometer No. 6:
The airport tax on
international passengers was increased from US$ 13.00 to US$ 18.00,
and a new airport security tax of US$ 2.50 was implemented.
Barometer No. 8:
A US$ 20.00 airport access fee was introduced, affecting car rental
rates.
Barometer No. 9:
The airport access fee for car rentals was changed to a 10.0% charge
on the base rental price. Additionally, the custom and immigration
services tax was increased from US$ 3.00 to ARS 10.00, affecting air
passengers.
Barometer No. 11:
The international airport tax levied on air passengers was lowered
from US$ 18.00 to ARS 18.00, effective January 24, 2002.
|
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