| 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: |
$121.23 |
15 |
|
Percentage of total item cost: |
10.14% |
11 |
|
Overall tax index: |
103 |
10 |
The first item in the above table represents
the combined tax total
paid by the WTTC Traveler in each of the four sectors in
Seoul. 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
Seoul compares with other Tax Barometer cities; a ranking of 1
is most competitive, while a ranking of 52 is least competitive.
Summary: Seoul currently has an overall Tax Barometer index of 103,
indicating a 3% increase in travel-related taxes since June 15, 1994,
the 10th lowest increase among all surveyed destinations.
This change can be attributed to an increase in the air passenger
sector; tax rates have remained steady in the car rental, hotel, and
restaurant sectors. For a five-day, four-night trip to
Seoul, travelers
can expect to pay approximately $121.00 in tourism-related taxes, a
total that ranks as the 15th lowest among all
surveyed destinations. |
 |
Rank |
|
Average price for 4-day rental (mid-size) without taxes: |
$238.80 |
- |
|
Value added tax/sales tax: |
10.00% |
- |
|
Total charges for 4-day rental with taxes: |
$262.68 |
- |
|
Total tax $ for 4-day rental: |
$23.88 |
16 |
|
Percentage of total car rental cost: |
9.09% |
12 |
|
Car rental tax index: |
100 |
1 |
|
Summary:
Taxes on car rentals in Seoul remain at their 1994 base index
levels. Tax charges on a four-day mid-sized car rental total
approximately $24.00, the 16th lowest among all 52 surveyed
destinations. |
 |
Rank |
|
Average price for 4-nights lodging without taxes: |
$636.00 |
- |
|
Value added tax/sales tax: |
10.00% |
- |
| Total
charges for 4-nights lodging with taxes: |
$699.60 |
- |
|
Total tax $ for four-nights: |
$63.60 |
30 |
|
Percentage of total hotel room cost: |
9.09% |
18 |
|
Hotel
tax index: |
100 |
8 |
Summary: Hotel room taxes in Seoul
remain at their 1994 base index levels. For a four night hotel
stay, travelers can expect to pay approximately $64.00 in taxes, a
total that ranks as the 23rd highest among all 52 surveyed
destinations |
 |
Rank |
|
Average price for 12 restaurant meals
without taxes: |
$212.40 |
- |
|
Value added tax/sales tax: |
10.00% |
- |
|
Total charges for 12 meals with taxes: |
$233.64 |
- |
|
Total tax $ for 12 meals: |
$21.24 |
21 |
|
Percentage of total restaurant meals cost: |
9.09% |
25 |
|
Restaurant tax index: |
100 |
5 |
Summary: Taxes on restaurant meals in Seoul remain at
their 1994 base index levels. Visitors can expect to pay around
$21.00 in taxes on 12 restaurant meals, a total that ranks as the
21st lowest among all 52 surveyed destinations. |
 |
Rank |
|
International airport service charge: |
KRW 15,000 |
- |
|
Total tax $ for international arrival and departure: |
$12.51 |
14 |
|
Percentage of total trip cost: |
1.05% |
17 |
|
Air passenger tax index: |
188 |
29 |
Summary:
Taxes on international airline passengers in Seoul have risen 88%
since 1994. This change can be attributed to two increases in
the international airport service charge; this tax was increased from KRW 8,000 to KRW 9,000 in 1996 and from KRW 9,000 to KRW 15,000 in
March 2001. Despite these increases, the $12.51 in taxes collected per arrival and
departure ranks as the 14th lowest among all 52 surveyed
destinations. |
 |
|
Barometer No. 2:
The international
airport service charge was increased from KRW 8,000 to KRW 9,000,
affecting airline passengers.
Barometer No. 10:
The international airport service charge was increased from KRW 9,000
to KRW 15,000, effective 3-29-01.
|
|
