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: $240.15 46
Percentage of total item cost: 17.11% 37
Overall tax index:

106

12

The first item in the above table represents the combined tax total paid by the WTTC Traveler in each of the four sectors in Santiago.  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 Santiago compares with other Tax Barometer cities; a ranking of 1 is most competitive, while a ranking of 52 is least competitive.

Summary: Santiago currently has an overall Tax Barometer index of 106, indicating a 6% increase in travel-related taxes since June 15, 1994.  This change can be attributed to an increase in the air passenger sector; tax rates on car rentals, lodging, and restaurant meals remain at their 1994 level.  For a five-day, four-night trip to Santiago, travelers can expect to pay approximately $240.00 in tourism-related taxes, a total that ranks as the seventh highest among all surveyed destinations.

 

Rank

Average price for 5-day rental (mid-size) without taxes: $239.72

-

Value added tax (VAT) or sales tax: 18.00%

-

Total charges for 5-day rental with taxes: $282.87 -
Total tax $ for five-day rental: $43.15 28
Percentage of total car rental cost: 15.25% 22
Car rental tax index: 100 1


Summary:
 Car rental taxes in Santiago remain at their 1994 base index levels.  Visitors can expect to pay around $43.00 in taxes for a five-day mid-sized car rental, a total that ranks as the 25th highest among all 52 surveyed destinations.  Santiago is one of just 14 destinations to not have raised their car rental tax rates since 1994.

 

Rank

Average price for 4-nights lodging without taxes: $644.00

-

Value added tax (VAT) or sales tax: 18.00%

-

Total charges for 4-nights lodging with taxes: $759.92

-

Total tax $ for four-nights: $115.92

45

Percentage of total hotel room cost: 15.25%

46

Hotel tax index: 100

8


Summary:  Taxes on hotel rooms in Santiago remain at their 1994 base index levels.  For a four-night visit, travelers can expect to pay around $116.00 in taxes, a total that ranks as the eighth highest among all 52 surveyed destinations.

 

Rank

Average price for 12 restaurant meals without taxes: $306.00 -
Value added tax (VAT) or sales tax: 18.00% -
Total charges for 12 meals with taxes: $361.08 -
Total tax $ for 12 meals: $55.08 44
Percentage of total restaurant meals cost: 15.25% 39
Restaurant tax index: 100 5

Summary: 
As is the case with the hotel and car rental sectors, taxes in Santiago's restaurant sector remain at their 1994 base index levels.  Total tax charges on 12 restaurant meals will cost a visitors approximately $55.00, a total that ranks as the ninth highest among all 52 surveyed destinations.

 

Rank
International airport facility charge: US$ 26.00
Total tax $ for international arrival and departure: $26.00 39
Percentage of total trip cost: 1.85% 33
Air passenger tax index: 208 35

( in rank column indicates a tax increase in Tax Barometer No. 11)

Summary:  Taxes on international airline passengers have risen 108% in Santiago since 1994, an increase that ranks as the 18th highest among all surveyed destinations.  This change can be attributed to an increase in the international airport facility charge, which was raised from US$ 12.50 to US$ 18.00 in 1996 and from US$ 18.00 to US$ 26.00 in 2002.  The $26.00 in applicable tax charges ranks as the 14th highest among all surveyed destinations.

 

Barometer No. 3: The departure tax on international airline passengers was increased from US$ 12.50 to US$ 18.00.

Barometer No. 11: The international airport facility charge was increased from US$ 18.00 to US$ 26.00.

 


 


 

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