Sunday, July 09, 2006

Bed Tax on B&B's and not timeshare

Burnham-On-Sea's MP, David Heathcoat-Amory, was in town on Friday evening (July 7th) to voice his fears on plans to introduce a new tax on hotels and B&Bs.

The plan has been proposed by Sir Michael Lyons after he was commissioned by the Government to review local Government funding. It is believed the tax would be added on top of existing business rates and VAT on hotel bills - prompting concern among hotel and B&B owners in Burnham-On-Sea.

The level of taxation would "seriously damage an industry that already has price competitive problems over the level of taxation of overseas visitors," said Mr Heathcoat-Amory as he visited Ashbourne House B&B in Burnham to sign a petition against the tax.

"The so-called 'Bed Tax' is also unfair as it is specifically directed at one section of the hospitality industry. It does not include rented accommodation second homes, timeshare, camping and towed caravans. There is also a possible further iniquity; a bed tax could be imposed in England but not in Scotland and Wales."

...the final verdict is due December, we'll wait and see the outcome...

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