Hawaii Transient Occupancy Tax (Aulani owners and guests)

[aan1701]

This tax in any form is why I will not add on pionts there, own there, or stay there. Heck I am already trading in 2 nights stay in a value at AKL for one night here plus paying a tax that is outrageous, no thanks.

 

[OhioDVC]

I'm not sure if we are spoiled since every DVC member plunked down a fair amount of money for the privilege of staying at the resorts. The odd thing is that state taxes the owners with property (ownership) tax and then turns around and taxes them for staying where they own. Somehow that just doesn't seem right. I could see taxing non-owners for a stay.


My reference to being spoiled is that DVC members do not pay sales or room tax on our current stays at DVC. And while we do pay property taxes, so do people who stay in Disney Hotels. The price of the room includes the yearly property tax on the resort PLUS you pay sales or room tax on the price you pay for the room. While you may have "plunked down a fair amount of money for the privilege of staying at the resorts" that was a pre-payment of room fees to WDW and has nothing to do with taxes collected by the state

 

[TisBit]

My reference to being spoiled is that DVC members do not pay sales or room tax on our current stays at DVC. And while we do pay property taxes, so do people who stay in Disney Hotels. The price of the room includes the yearly property tax on the resort PLUS you pay sales or room tax on the price you pay for the room. While you may have "plunked down a fair amount of money for the privilege of staying at the resorts" that was a pre-payment of room fees to WDW and has nothing to do with taxes collected by the state

I think the PP was just trying to point out that you are comparing apples to oranges. Yes, hotel guests pay overhead costs just like timeshare owners. But, similar to the debate of discounts and deals it gets very convaluted.

You might be able to make a case that as DVC members we have been spoiled by the State of Florida and their more timeshare friendly laws...but I think the point is also well made that if someone "owns" property and you want to double tax them for staying in it, it can feel unfair. The difference between a timeshare owner and a hotel guest is that the timeshare owner pays their real estate tax every year, even if they didn't use it. A hotel guest only pays when they stay.

So the state revenue is drawn from the real estate owner regardless. I am not sure the details of the Hawaii laws, but if you own a house and do not live in it over 180 days, do you have to pay transient tax? It sounds like this is merely a timeshare tax, which they have created as a seperate type of real estate owner. Florida has treated their timeshare owners the same as any other property owner....

 

[bookwormde]

I suspect that if it passes it will hasve a significant impact on sales, and I could see the contruction being stretched out so less construction and service jobs, not quite sure how that makes sense in this economy.

 

[alldiz]

Not 100% certain, but I think it is charged per stay, so it would effect those staying at the resort on a given trip. I'm confused as to how this works for point stays. Would it be the number of points needed for that stay and then be figured on the maintenance for that number of points?

No, the tax is not for owners. It is a users fee and will be charged to whomever is using the accommodation.

It looks like they are basing it on the maintenance fees at Aulani - even if other DVC points were actually used. wdrl addresses this in his post above.

I suspect there will be a daily tax based on the number of points used for the villa, based somehow on the maintenance fees for that resort, but charged to the person staying in the room. Cash stays are easy, just a % applied to the rental rate, so on timeshare stays, they are using the annual feess paid by the owners of the resort - in this case Aulani members.

Thanks.....Living in NY Hawaii will not be a regular trip. I might get to check it off the bucket list a little sooner with Disney's new resort....but I can't imagine going back more than once. The flight is too long and there are beautiful beaches in the Caribbean and Fire island.

The tax will not defer me from making the trek there.....the distance will keep me from returning frequently. I'm curious if a lot East Coasters bought at Aulani.
Kerri

 

[ChiSoxKeith]

H.B. 809, which denlo points out is still pending before the Hawaii State Legislature, would tax time share vacation units at the same 9.25% rate as for other accommodations. If H.B. 809 is implemented and Aulani's Transient Accommodations Tax is increased from 7.25% to 9.25%, then the tax per point will increase by $0.0431 per point to $0.1993375 per point.

So for my 1 week stay at Aulani (coming this September), 1 BR Ocean View is 322 points. So my tax at checkout can either be $13.87 or $64.18. So on the cheap end I decide to not get a Starbucks coffee three times between now and then. At the high end, we skip a few more. While I don't want them to raise the tax, it won't deter my stays there.

 

[dvc_john]

So for my 1 week stay at Aulani (coming this September), 1 BR Ocean View is 322 points. So my tax at checkout can either be $13.87 or $64.18. So on the cheap end I decide to not get a Starbucks coffee three times between now and then. At the high end, we skip a few more. While I don't want them to raise the tax, it won't deter my stays there.

If they make no changes, the tax at check-out will be about $50.31.
If they pass HB 809, the tax at check-out will be about $64.18.
If they pass both bills, the tax at check-out will be about $192.54, and you'll pretty much have to skip Starbucks altogether.

 

[dianeschlicht]

If they make no changes, the tax at check-out will be about $50.31.
If they pass HB 809, the tax at check-out will be about $64.18.
If they pass both bills, the tax at check-out will be about $192.54, and you'll pretty much have to skip Starbucks altogether.

John, are you saying those are for the whole week's stay? I thought that would be per day.

 

[dvc_john]

John, are you saying those are for the whole week's stay? I thought that would be per day.

The figures I posted for ChiSoxKeith are for the whole week (based on 322 points).
Per day, it would be about 7.20, 9.12, or 27.50.

 

[dianeschlicht]

The figures I posted for ChiSoxKeith are for the whole week (based on 322 points).
Per day, it would be about 7.20, 9.12, or 27.50.

AHA! For some reason I was reading the earlier post wrong, and I thought it was calculated per night. Well, then I'm not going to worry about it...no biggie.

 

[OhioDVC]

You might be able to make a case that as DVC members we have been spoiled by the State of Florida and their more timeshare friendly laws...but I think the point is also well made that if someone "owns" property and you want to double tax them for staying in it, it can feel unfair. The difference between a timeshare owner and a hotel guest is that the timeshare owner pays their real estate tax every year, even if they didn't use it. A hotel guest only pays when they stay.

So the state revenue is drawn from the real estate owner regardless. I am not sure the details of the Hawaii laws, but if you own a house and do not live in it over 180 days, do you have to pay transient tax? It sounds like this is merely a timeshare tax, which they have created as a seperate type of real estate owner. Florida has treated their timeshare owners the same as any other property owner....

The state tax is called at "transient tax" and is applied to people staying on the islands on a temporary basis, a person who owns a house 365 days a year and pays taxes based on the home ownership is night and day different from a timeshare owner who stays/owns one to two weeks a year

 

[ChiSoxKeith]

If they make no changes, the tax at check-out will be about $50.31.
If they pass HB 809, the tax at check-out will be about $64.18.
If they pass both bills, the tax at check-out will be about $192.54, and you'll pretty much have to skip Starbucks altogether.

I guess I read wdrl's numbers wrong then. I guess I'll find out when I head over there and check out.

 

[dvc_john]

H.B. 809, which denlo points out is still pending before the Hawaii State Legislature, would tax time share vacation units at the same 9.25% rate as for other accommodations. If H.B. 809 is implemented and Aulani's Transient Accommodations Tax is increased from 7.25% to 9.25%, then the tax per point will increase by $0.0431 per point to $0.1993375 per point.

I guess I read wdrl's numbers wrong then. I guess I'll find out when I head over there and check out.

The $0.0431 per point figure from wdrl is the INCREASE from the current rate if HB 809 passes.
The $0.1993375 per point would be the new rate if HB 809 passes (which is likely).
If HB 1163 passes, then multiply that figure by 3 to get the new rate. However HB 1163 has been deferred, so hopefully it won't pass.

 

[OhioDVC]

No personal attacks intended, but I am totally amazed at the opposition to the transient tax on Aulani. You can not travel or stay in hotels without paying tax.

If you travel by car, you pay gasoline tax
Travel by plane you pay tax and 911 fee
Travel on DCL you pay port charges and tax
If you stay at WDW in one of the hotels you will pay tax on the room rate.

A quick check of reservations at WDW show a Beach Club room for one week in April will cost $2179 plus $272 in tax, Hawaii's transient tax seems to be in the ball park. (Yes I know DVC members pay property tax in their mx fees but property tax is also included in the price of the room for a hotel stay)

Taxes are a way of life. The State of Hawaii is having budget problems so they are looking for sources of income.

This is not the place for a political discussion, but a short note on the expansion/increases of taxes from the federal government, not to mention the huge increase in direct and indirect taxes from the new health care law.

Taxes are a way of life to support our local, state and federal government.

If you do not want to pay taxes, you may need to stay home (and still pay taxes).

When I lived in San Antonio (back in 2002) the county raise taxes on hotel rooms and rental cars to about 14% to pay for a new Spurs arena. It did not have an effect on the tourist travel to the city. How many people ask about the room tax when they check for room rates?

Somebody has to pay for the infrastructure that tourist enjoy and use during their vacation. There is no free lunch. Somebody has to pay for airports, roads, police, parks and other tourist services

My choice will be to pay about 2-3% more in my total vacation cost and thoroughly enjoy the beautiful beaches of Hawaii.

I can't believe I said that after just filing my federal and state taxes. I could have purchased and nice amount of Aulani points with that money!

 

[ChiSoxKeith]

No personal attacks intended, but I am totally amazed at the opposition to the transient tax on Aulani. You can not travel or stay in hotels without paying tax.

The reason there is resistance is that it's different. DVC members don't currently have to pay any hotel or transient taxes in Floriday.

I knew about a transient tax being in place when I bought into Aulani. I'm not overly concerned by it. Sure, the big increase would stink, but I'm only going to be going to Aulani every two or three years, so I can live with it.

 

[rock_doctor]

Good luck to the owners. Let Disney know how you feel. They are big enough to scream and be heard.

 

[dizfan]

Wow, those rates are steep.

Florida and Orange County like to also tax tourists. 13% for some hotel rooms.
Anyone know if something like this could be coming to Florida?

 

[jodifla]

No personal attacks intended, but I am totally amazed at the opposition to the transient tax on Aulani. You can not travel or stay in hotels without paying tax.

If you travel by car, you pay gasoline tax
Travel by plane you pay tax and 911 fee
Travel on DCL you pay port charges and tax
If you stay at WDW in one of the hotels you will pay tax on the room rate.

A quick check of reservations at WDW show a Beach Club room for one week in April will cost $2179 plus $272 in tax, Hawaii's transient tax seems to be in the ball park. (Yes I know DVC members pay property tax in their mx fees but property tax is also included in the price of the room for a hotel stay)

Taxes are a way of life. The State of Hawaii is having budget problems so they are looking for sources of income.

This is not the place for a political discussion, but a short note on the expansion/increases of taxes from the federal government, not to mention the huge increase in direct and indirect taxes from the new health care law.

Taxes are a way of life to support our local, state and federal government.

If you do not want to pay taxes, you may need to stay home (and still pay taxes).

When I lived in San Antonio (back in 2002) the county raise taxes on hotel rooms and rental cars to about 14% to pay for a new Spurs arena. It did not have an effect on the tourist travel to the city. How many people ask about the room tax when they check for room rates?

Somebody has to pay for the infrastructure that tourist enjoy and use during their vacation. There is no free lunch. Somebody has to pay for airports, roads, police, parks and other tourist services

My choice will be to pay about 2-3% more in my total vacation cost and thoroughly enjoy the beautiful beaches of Hawaii.

I can't believe I said that after just filing my federal and state taxes. I could have purchased and nice amount of Aulani points with that money!

Paying an extra $2OO every time I use a week in my DVC in NOT ACCEPTABLE!

You know what happens when you mess with tourists enough? They go elsewhere.

 

[jodifla]

No personal attacks intended, but I am totally amazed at the opposition to the transient tax on Aulani. You can not travel or stay in hotels without paying tax.

If you travel by car, you pay gasoline tax
Travel by plane you pay tax and 911 fee
Travel on DCL you pay port charges and tax
If you stay at WDW in one of the hotels you will pay tax on the room rate.

A quick check of reservations at WDW show a Beach Club room for one week in April will cost $2179 plus $272 in tax, Hawaii's transient tax seems to be in the ball park. (Yes I know DVC members pay property tax in their mx fees but property tax is also included in the price of the room for a hotel stay)

Taxes are a way of life. The State of Hawaii is having budget problems so they are looking for sources of income.

This is not the place for a political discussion, but a short note on the expansion/increases of taxes from the federal government, not to mention the huge increase in direct and indirect taxes from the new health care law.

Taxes are a way of life to support our local, state and federal government.

If you do not want to pay taxes, you may need to stay home (and still pay taxes).

When I lived in San Antonio (back in 2002) the county raise taxes on hotel rooms and rental cars to about 14% to pay for a new Spurs arena. It did not have an effect on the tourist travel to the city. How many people ask about the room tax when they check for room rates?

Somebody has to pay for the infrastructure that tourist enjoy and use during their vacation. There is no free lunch. Somebody has to pay for airports, roads, police, parks and other tourist services

My choice will be to pay about 2-3% more in my total vacation cost and thoroughly enjoy the beautiful beaches of Hawaii.

I can't believe I said that after just filing my federal and state taxes. I could have purchased and nice amount of Aulani points with that money!

The other thing is, we DO pay taxes. They are included in our dues.

This kind of transient tax they can just keep increasing and increasing until you are paying as much as tax as you would be for the room itself.

When I stay at my DVC, I expect a O bill.

 

[OhioDVC]

Lets not forget, our Vice-President says it is our patriotic duty to pay taxes.

There is no free lunch.

DVC is just a drop in the bucket when you look at all of the timeshares in Hawaii, DVC will not get this law changed.

If you boycott Aulani because of the transient tax, you should boycott ALL vacation travel because we can't leave our houses without paying taxes.

Embrace the change and dream of the Pacific ocean waves crashing down on Aulani's beach.

I for one am planning a 3 week stay for Dec 2012/Jan 2013 and I'm already counting down the days!