ANCHORAGE -- In order to raise what the Alaska Travel Industry
Association (ATIA) says is much-needed funds for tourism marketing,
the organization made a proposal: Let the tourism industry tax
Leveling a 2% tax on your own business is unusual, especially so
in Alaska, where, as an ATIA spokesman put it, "People aren't used
to being taxed." But the state is facing a budget deficit, revenues
from its oil production are down and funds are tight. In its
current model, the ATIA's budget is $10 million -- 60% private
funds and 40% state funds.
"In this budgetary climate, the tourism industry recognizes the
chance of getting more marketing funds from the state is slim to
none," said Ron Peck, the ATIA's president.
Peck said the proposed "self-assessment" could raise $20 million
in marketing funds. If the assessment were to go into effect, it
would be levied on sales generated by hotels, car rentals, gift
shops, shore excursions, day tours and land-based package tours but
not cruise ships.
To contact reporter Rebecca Tobin, send e-mail to [email protected].