| 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: |
$223.76 |
41 |
|
Percentage of total item cost: |
17.94% |
43 |
|
Overall tax index: |
124 |
33 |
The first item in the above table represents
the combined tax total
paid by the WTTC Traveler in each of the four sectors in
Frankfurt. 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
Frankfurt compares with other Tax Barometer cities; a ranking of 1
is most competitive, while a ranking of 52 is least competitive.
Summary:
Frankfurt currently has an
overall Tax Barometer index of 124,
indicating a 24% increase in
travel-related taxes since June 15, 1994.
This change can be
attributed to increases in each of the four sectors. For a five-day, four-night trip to
Frankfurt, travelers
can expect to pay approximately $224.00 in tourism-related taxes, a
total that ranks as the 12th highest among all
surveyed destinations, and the seventh highest
among European destinations. |
 |
Rank |
|
Average price for 4-day rental (mid-size) without taxes: |
$178.71 |
- |
|
Airport access fee: |
15.00% |
 |
|
Value added tax (VAT): |
16.00% |
- |
|
Vehicle registration fee (per day): |
€1.05 |
|
|
Total charges for 4-day rental with taxes: |
$243.16 |
- |
|
Total tax $ for 4-day rental: |
$64.45 |
42 |
|
Percentage of total car rental cost: |
26.51% |
45 |
|
Car rental tax index: |
165 |
39 |
|
(
in rank column indicates a tax increase in Tax Barometer No. 10)
Summary:
Car rental taxes in Frankfurt have increased 65% since 1994. In
the base index, car rental taxes included the national VAT, which was
15.0% in 1994, and a 6.0% airport access fee (DEM 50.00 maximum).
The German VAT was increased to 16.0% in 1998, and the airport access
fee was increased to 15.0% (no maximum specified) in 2002. A new
DEM 1.72/day vehicle registration fee was also implemented in 2000,
and was increased to DEM 1.90/day one year later. It was further
increased to €1.05/day in 2002. For a
four-day mid-sized car rental, visitors to Frankfurt will pay nearly
$65.00 in taxes, a total that ranks as the 11th highest among all
surveyed destinations. |
 |
Rank |
|
Average price for 4-nights lodging without taxes: |
$631.37 |
- |
|
Value added tax (VAT): |
16.00% |
- |
| Total
charges for 4-nights lodging with taxes: |
$732.39 |
- |
|
Total tax $ for four-nights: |
$101.02 |
42 |
|
Percentage of total hotel room cost: |
13.79% |
38 |
|
Hotel
tax index: |
107 |
32 |
Summary: Visitors spending four nights
in Frankfurt will pay approximately $101.00 in hotel taxes, an amount
that ranks as the 11th highest total among all surveyed destinations,
and the sixththird highest among European destinations. Hotel taxes
have risen 7% since 1994, the result of Germany's 1.0% increase in its
national VAT in 1996. |
 |
Rank |
|
Average price for 12 restaurant meals
without taxes: |
$234.31 |
- |
|
Value added tax (VAT): |
16.00% |
- |
|
Total charges for 12 meals with taxes: |
$271.80 |
- |
|
Total tax $ for 12 meals: |
$37.49 |
31 |
|
Percentage of total restaurant meals cost: |
13.79% |
36 |
|
Restaurant tax index: |
107 |
33 |
Summary: As is the case with lodging,
Frankfurt's 7% increase in restaurant meal taxes can be attributed to
a 1.0% increase in the national VAT rate that occurred in 1996.
Frankfurt collects approximately $37.00 in taxes for 12 meals, a total
that ranks as the 22nd highest overall, and the 11th highest among
the 18 European destinations. |
 |
Rank |
|
International passenger service charge: |
€15.51 |
|
|
Airport security charge: |
€5.71 |
|
|
Total tax $ for international arrival and departure: |
$20.80 |
30 |
|
Percentage of total trip cost: |
1.67% |
31 |
|
Air passenger tax index: |
186 |
29 |
(
in rank column indicates a tax increase in Tax Barometer No. 11)
Summary:
Taxes on international airline passengers have increased 86% since
1994, the result of several increases in the two taxes collected in
Frankfurt: the international passenger service charge, which has
been raised incrementally from DEM 15.80 to €15.51, and the airport
security charge, which has been increased from DEM 6.50 to €5.71.
Both of these taxes were increased to their current level in 2002. The $20.80 in taxes levied on air passengers ranks as the
23rd highest among all surveyed destinations, and the fifth highest
among European destinations. |
 |
|
Barometer No. 1:
The inaugural Tax
Barometer increase can be attributed to an increase in the
international passenger service charge.
Barometer No.
2:
The airport security charge was increased from DEM 6.50 to DEM 7.50.
Barometer No. 3:
The international
passenger service charge was increased from DEM 17.50 to DEM 19.00.
Barometer No. 5:
The international passenger service charge was increased from DEM
19.00 to DEM 20.00.
Barometer No. 6:
The international passenger service charge was increased from DEM
20.00 to DEM 20.50. Additionally, the national VAT was increased from
15.0% to 16.0%, affecting all sectors.
Barometer No. 9:
The airport access
fee on car rentals was increased to 12.0% and a new DEM 1.72 per day
vehicle registration fee was implemented. Additionally, the
international passenger service charge was increased to DEM 25.40.
Barometer No. 10:
The vehicle registration fee was increased to DEM 1.90/day. In the
airline sector, the airport security charge was increased from DEM
7.50 to DEM 9.22, and the international passenger service charge was
increased from DEM 25.40 to DEM 27.87, effective 4-1-01.
Barometer No. 11:
The airport access
fee on car rentals was increased from 12.0% to 15.0% and the vehicle
registration fee was increased from DEM 1.90/day to €1.05/day.
International airline passengers were affected by increases to both
the airport security charge (from DEM 9.22 to €5.71) and the
international passenger service charge (from DEM 27.87 to €15.51).
The increases took place on February 15, 2002, and April 1, 2002,
respectively.
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