Hotels (Temporary Customs Duty Relief) Amendment Act 2024

What this bill does

This bill extends a tax break program that allows hotels to import certain goods without paying customs duties. It pushes back the expiration date of this program from March 31, 2024 to March 31, 2029, giving hotels five more years of duty relief.

If passed (voted YES)

• Hotels can continue importing qualifying goods without paying customs duties until March 2029
• The hotel industry keeps this cost-saving benefit for another five years, potentially helping with room rates and competitiveness
• The program that was set to expire in March 2024 gets extended, with the change backdated to April 1, 2024

If rejected (voted NO)

• The customs duty relief program for hotels would have expired on March 31, 2024 as originally scheduled
• Hotels would have to pay full customs duties on imported goods, increasing their operating costs
• The government would collect more customs revenue from hotel imports

Who it affects

This primarily affects Bermuda's hotel industry and tourism operators who import goods for their properties. It may also indirectly impact tourists through potential effects on hotel pricing and the broader tourism economy.