BHTA opposes new car rental tax, PM Mottley defends the levy

Chairman of the Barbados Hotel and Tourism Association (BHTA), Javon Griffith, has raised concern about Government’s plan to introduce a $10 daily levy on car rentals starting July 1, 2025.

Speaking at the BHTA’s quarterly general meeting on Tuesday, Griffith said the tax could hurt tourism by raising travel costs and giving illegal rental operators an even greater advantage.

He noted the car rental sector already carries the highest tax burden in the industry.
Griffith recommended a flat fee per rental or a lower daily rate of $5, with exemptions for long-term visitors.

In response, Prime Minister Mia Mottley defended the levy, arguing it was necessary to fund critical coastal protection projects.

“A person who pays $200 a day and who expects quality, expects to be able to be given an environment that is stable, that is healthy… If the government doesn’t find a base with a large, large denominator to keep the incidence of the tax small, then who next will have to pay that tax to protect our coasts?” she questioned. (SM)