Lack of clarity on funding for operating tourist tax

Scotland’s councils need to know how they will be expected to pay for the costs of implementing Scotland’s new tourist tax says the Chartered Institute of Taxation.

Responding to the consultation on proposals to give councils the power to introduce a transient visitor levy the CIOT called on the Scottish government and the Convention of Scottish Local Authorities to ensure that the costs associated with administering and policing the levy were included in future budget negotiations. 

The institute suggested that the Scottish government establish a national framework for operating the levy and provide guidance on how councils should administer it. 

This would make the tax easier to operate across Scotland reduce burdens on businesses and make it easier for visitors to understand. It would also respect the independence and autonomy of councils to make their own decisions on whether they would choose to implement the tax.

Alexander Garden chair of...