☆ HJTA: San Jose’s hotel tax could make tourism revenue “fall”
On June 2nd, voters may choose to raise taxes on hotels in San Jose. But that could actually drive business, and jobs, out of town. So says Howard Jarvis Taxpayer Association's spokesperson Susan Shelley: unintentionally, it might even bring down tax revenue. An Opportunity Now exclusive comment.
In considering San Jose's Measure A, voters will have to weigh the harm to the hospitality industry and its workers of a tax that raises the prices of hotels in the city. To the extent that higher prices for hotels in San Jose drive tourists and business travelers to hotels in neighboring cities, the tax could raise much less than expected, or revenue could even fall.
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