TUVALU

ROOM TAX ACT 1994
(Act No 3 of 1994)

I assent

Tulaga Manuella, MBE
Governor-General

7th December 1994

AN ACT to impose a room tax and to provide for its collection and management.

ENACTED by the Parliament of Tuvalu-

Citation and commencement

1. This Act may be cited as the Room Tax Act 1994 and shall come into effect on 1st January 1995.

Interpretation

2. In this Act, unless the context otherwise requires -

"accommodation charges" means the total cost for a room hired by a person who stays at a licensed boarding house or hotel.

Imposition of room tax

3. (1) A tax to be known as room tax shall be imposed room tax in respect of any accommodation charges that shall be payable to a person licensed under the Licences Act to operate a boarding house or hotel by any person staying at a boarding house or hotel.

(2) The rate of the room tax is specified in the schedule, which the Minister with the approval of Cabinet, may by notice amend.

Liability and collection of room tax

4. (1) Any person staying at a licensed boarding house or hotel shall be liable to pay room tax in respect of the accommodation charges that person is liable to pay to a person licensed to operate a boarding house or hotel.

(2) A person licensed to operate a boarding house or hotel shall be liable to collect room tax from any person liable to pay room tax under subsection (1) of this section when collecting accommodation charges from that person.

(3) A person licensed to operate a boarding house or hotel shall pay to the Government any amount of room tax collected within periods of three months commencing from the date this Act shall come into effect by or before the end of the month immediately succeeding each period of three months.

Offence

5. Any person who contravenes any provision of this Act commits an offence and shall be liable on conviction to a fine of $1,000 and to imprisonment for 6 months.

Regulations

6. The Minister may make regulations for carrying out the purposes of this Act and, without prejudice to the generality of the foregoing may regulate the following matters-

(a) the forms to be used in connection with, this Act; and

(b) the detailed manner of collection of room tax.

SCHEDULE
(Section 3(2))

RATE OF ROOM TAX

The rate of room tax is 10% of the accommodation charges.

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ROOM TAX ACT 1994
(Act No 3 of 1994)

EXPLANATORY MEMORANDUM
(This memorandum is not part of the Act)

The purpose of this Act is to impose a tax to be called room tax in respect of the cost of accommodation payable by any person staying at a licensed boarding house or hotel (section 3).

Any person staying at a licensed boarding house or hotel shall be liable to pay 10% room tax on top of the cost of his accommodation. The boarding house or hotel collecting such room tax within periods of three months shall remit the same to the Government before the end of the month following each period of three months (section 4).

The rate of room tax is specified in the Schedule and may be amended by notice by the Minister with the approval of Cabinet (section 3(2)).

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