ASTA is applauding a proposal by Alaska Gov. Sean Parnell to reduce the state “head tax” on inbound cruise passengers from $46 to $34.50.In a letter to the Governor, Chris Russo, ASTA’s president and chair, pointed out that travel agents are responsible for more than $14 billion in annual cruise sales-approximately 80 percent of all cruise travel sold. The letter reiterated ASTA’s support for reducing regulatory and tax barriers that make travel more expensive.
“The predictable effect of a tax reduction such as the one you have proposed will be an increase in the number of cruise passengers visiting your state-a welcome result for passengers, travel agents and Alaska-based businesses alike,” Russo wrote.
“At a time when many states and municipalities are seeking to apply additional taxes on the travel and tourism industry, this proposal is a welcome step in the right direction,” Russo said. “We look forward to working with Governor Parnell and the Alaska State Legislature to help this measure to become law.” Vicky Karantzavelou - Wednesday, March 31, 2010