The Greater Toronto Hotel Association says a hotel tax increase introduced for Toronto’s FIFA World Cup games next year might be having a negative effect on tourism and travel to the city unrelated to the tournament.
A 2.5 per cent increase to the Municipal Accommodation Tax (MAT) started in June and the City expects $56.6 million to be raised by next July.
While that’s not a huge increase, Sara Anghel, president and CEO of the Greater Toronto Hotel Association (GTHA), told CBC Toronto it could be a deterrent for some visitors and those looking to hold other large events in the city.
“The more we increase our taxes, the less competitive we're going to be against other cities that we compete with for conventions, for example,” she said.
Last year, city council voted to increase the MA