| 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: |
$311.32 |
50 |
|
Percentage of total item cost: |
17.77% |
42 |
|
Overall tax index: |
111 |
20 |
The first item in the above table represents
the combined tax total
paid by the WTTC Traveler in each of the four sectors in
Tel Aviv. 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
Tel Aviv compares with other Tax Barometer cities; a ranking of 1
is most competitive, while a ranking of 52 is least competitive.
Summary: Tel
Aviv currently has an
overall Tax Barometer index of 111,
indicating an
11% increase in
travel-related taxes since June 15, 1994.
This change can be
attributed to increases in all four sectors. For a five-day, four-night trip to
Tel Aviv, travelers
can expect to pay approximately $311.00 in tourism-related taxes, a
total that ranks as the third highest among all
52 surveyed destinations.
However, it should be noted that visitors who pay in foreign currency
are often tax-exempt; only those paying in Israeli Shekels are
obligated to pay the taxes. |
 |
Rank |
|
Average price for 4-day rental (mid-size) without taxes: |
$222.24 |
- |
|
Airport access fee: |
US$ 25.00 |
- |
|
Value added tax (VAT): |
18.00% |
|
|
Stamp tax: |
0.40% |
- |
|
Total charges for 4-day rental with taxes: |
$284.85 |
- |
|
Total tax $ for 4-day rental: |
$62.61 |
40 |
|
Percentage of total car rental cost: |
21.98% |
33 |
|
Car rental tax index: |
119 |
25 |
|
(
in rank column indicates a tax increase in Tax Barometer No. 11)
Summary:
Car rental taxes in Tel Aviv have risen 19% since 1994, an
increase that ranks as the 28th highest among all 52 surveyed
destinations. This change can be attributed to two increases in
the airport access fee (from US$ 15.00 to US$ 20.00 in 1998 and from
US$ 20.00 to US$ 25.00 in 2000), the introduction of a 0.40%
stamp tax in 2000, and an increase in the Israeli VAT rate. Visitors can expect to pay around $63.00 in taxes for a
four-day mid-sized car rental, a total that ranks as the 13th highest
among all surveyed destinations.
|
 |
Rank |
|
Average price for 4-nights lodging without taxes: |
$876.23 |
- |
|
Value added tax (VAT): |
18.00% |
|
| Total
charges for 4-nights lodging with taxes: |
$1,033.95 |
- |
|
Total tax $ for four-nights: |
$157.72 |
51 |
|
Percentage of total hotel room cost: |
15.25% |
46 |
|
Hotel
tax index: |
106 |
31 |
(
in rank column indicates a tax increase in Tax Barometer No. 11)
Summary: Taxes on hotel rooms in
Tel Aviv have risen 6% since 1994, the result of an increase in the
Israeli VAT that occurred in 2002. For a
four-night visit, travelers can expect to pay around $158.00 in taxes,
a total that ranks as the second highest among all 52 surveyed
destinations. Hotel guests who pay their bill
in foreign currency are tax exempt. |
 |
Rank |
|
Average price for 12 restaurant meals
without taxes: |
$367.21 |
- |
|
Value added tax (VAT): |
18.00% |
|
|
Total charges for 12 meals with taxes: |
$433.31 |
- |
|
Total tax $ for 12 meals: |
$66.10 |
48 |
|
Percentage of total restaurant meals cost: |
15.25% |
39 |
|
Restaurant tax index: |
106 |
32 |
(
in rank column indicates a tax increase in Tax Barometer No. 11)
Summary: As is the case with the hotel sector, taxes in Tel
Aviv's restaurant sector have increased 6% over their base index level.
This increase is the 21st highest among all surveyed destinations, and
is the result on an increase in Israel's VAT. Tax charges on 12 restaurant meals total approximately $66.00, a total that ranks as the
fifth
highest among all 52 surveyed destinations. |
 |
Rank |
|
Ben Gurion departing passenger airport tax: |
US$ 13.00 |
- |
|
Airport tax: |
US$ 3.89 |
- |
|
Security charge: |
US$ 8.00 |
|
|
Total tax $ for international arrival and departure: |
$24.89 |
35 |
|
Percentage of total trip cost: |
1.42% |
24 |
|
Air passenger tax index: |
150 |
22 |
(
in rank column indicates a tax increase in Tax Barometer No. 11)
Summary:
Taxes on international airline passengers have risen 50% in Tel Aviv
since 1994, an increase that ranks as the 22nd lowest among all
surveyed destinations. This change can be attributed to an
increase in the airport tax, which was
raised from US$ 3.54 to US$ 3.89 in 1999, and to the introduction of a
US$ 8.00 security tax that was introduced in 2001. The $24.89 in
applicable tax charges ranks as the 18th highest among all surveyed
destinations. |
 |
|
Barometer No. 7:
The airport access fee was increased to US$ 20.00, affecting
car rental rates.
Barometer No. 8:
The airport tax was increased from US$ 3.54 to US$ 3.89, affecting air
passengers.
Barometer No. 9:
The airport access fee on car rentals was increased from US$ 20.00 to
US$ 25.00, and a new .40% stamp tax was added to the car rental index.
Barometer No. 11:
The national VAT was
increased to 18.0%, affecting car rentals, hotels and restaurants. A
new US$ 8.00 security charge was introduced on October 14, 2001,
affecting international airline passengers.
|
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