A number of countries are introducing tourist taxes in 2022. Photo: Unsplash / Danila Hamsterman
A number of countries are introducing tourist taxes in 2022. Photo: Unsplash / Danila Hamsterman
A number of countries are introducing tourist taxes in 2022. Photo: Unsplash / Danila Hamsterman
A number of countries are introducing tourist taxes in 2022. Photo: Unsplash / Danila Hamsterman

Seven new tourism taxes for 2022 that trip-planners need to know about


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A new year means new travel plans and with the world slowly opening up for foreign jaunts, there’s never been a better time to start plotting your next trip – and that includes all the nitty-gritty.

Although tourist tax is nothing new, hardship from Covid-19 travel restrictions and an increased focus on sustainability have led governments and airlines around the world to announce additional fees for travellers.

Here, we round up the travel and tourism taxes landing in 2022, from Thailand to Venice, so that you can plan your next holiday without any nasty surprises.

1. Thailand – April 2022

Visitors to Thailand will have to fork out an extra 300 baht from April as the country introduces a foreign tourist fee. AFP
Visitors to Thailand will have to fork out an extra 300 baht from April as the country introduces a foreign tourist fee. AFP

Visitors to Thailand will have to fork out an extra 300 baht ($9) from April as the country introduces a foreign tourist fee.

Officials say the fee will be used to develop attractions and cover accident insurance for foreign travellers who are unable to pay the costs themselves. One of Asia’s most popular travel destinations, Thailand was hit badly during a pandemic-induced tourism slump, reporting about 20,000 arrivals in 2021, compared with nearly 40 million in 2019.

The latest fee adds to a list of requirements for foreign visitors, which includes prepayment for Covid-19 tests, pre-booked hotel accommodation or quarantine and having Covid-19 insurance with a minimum coverage of $50,000.

2. Venice, Italy – June 2022

Venice is introducing a tax in June to prevent overtourism. AFP
Venice is introducing a tax in June to prevent overtourism. AFP

In a quest to quash overcrowding, the Italian city of Venice is introducing a tourist tax of up to €10 ($11) a day to enter the lagoon city.

Authorities have long grappled with mass crowds swarming the narrow streets and iconic piazzas. The latest effort to preserve Venice’s fragile ecosystem aims to curb the overtourism it suffered in pre-pandemic years.

Access will be regulated by electronic turnstiles at entry points to the city, plus an online booking app, with fees from €3 and €10 depending on the season. Residents, students, commuters and overnight guests will be exempt from the tax, which is expected to come into effect in June.

3. The Netherlands and France – January 2022

Travellers flying with Air France-KLM will now have to pay a tax for sustainable aviation fuel. Reuters
Travellers flying with Air France-KLM will now have to pay a tax for sustainable aviation fuel. Reuters

It’s not only governments that are adding a surcharge to foreign travel in 2022. Air France-KLM introduced a hike to ticket prices earlier this month to help fund the extra cost of using sustainable aviation fuel.

The move will add between €1 and €12 to the cost of flights running from France or the Netherlands. The fee will depend on the distance travelled and the ticket class and is part of the airline’s drive to lower its carbon footprint.

The airline said the cost of using sustainable aviation fuel is four to eight times higher than that of fossil fuels and explained that coach-class tickets will rise by no more than €4. Business-class fares will cost up to €12 more. Meanwhile, low-cost arm Transavia will include an unitemised contribution in its ticket cost.

4. The EU – end of 2022

Travellers to France and the rest of the EU will need to fork out on a new tax by the end of the 2022. iStockphoto.com
Travellers to France and the rest of the EU will need to fork out on a new tax by the end of the 2022. iStockphoto.com

Travellers to the EU will soon have to cough up an extra €7 for the pleasure when a new travel tax comes into force this year.

Called the “European Travel Information and Authorisation System” – ETIAS for short – the new measure is intended to “increase security and help prevent health threats to the bloc”.

The new rule affects people who do not live permanently in an EU country or don’t need a visa to stay in one, including Americans, Australians, those from the UK and other travellers from outside the Schengen zone, although people under 18 or over 70 will be exempt.

5. The Maldives – January

It will now be harder than ever to leave the Maldives. Photos: Kuoni
It will now be harder than ever to leave the Maldives. Photos: Kuoni

If leaving the Maldives wasn’t already difficult enough, people are now going to be charged for the pleasure.

A new departure tax was introduced this month for all travellers leaving the islands, including local residents.

According to Raajje, a news outlet for the Maldives, the fee will depend on the passenger’s residency and the class they are flying, and starts from $12 for local travellers in economy class.

Non-residents will have to pay $30 when flying economy class, $60 in business class, and $90 if flying first class. There will be a $120 fee for those flying on private charter jets.

Passengers flying out of Velana International Airport will also be charged a $25 Airport Development Fee in addition to the new departure tax.

6. Bengaluru, India – April 2022

Bengaluru travellers will have to factor in user development fees. Photo: Rosemary Behan
Bengaluru travellers will have to factor in user development fees. Photo: Rosemary Behan

If you’re planning a trip to India’s Bengaluru, get set to add a little to your travel bill. Passengers flying out of Kempegowda International Airport will have to pay 350 rupees ($4.70) for domestic and 1,200 rupees for international flights, instead of the existing 184 rupees and 839 rupees, respectively.

The user development fee will come into play in April and will continue until March 2026 and is intended to boost the airport’s finances after a huge expansion project and lower footfall since the outbreak of the Covid-19 pandemic.

7. Norway – January 2022

Norway is reintroducing the traveller taxes it shelved during the Covid-19 pandemic.
Norway is reintroducing the traveller taxes it shelved during the Covid-19 pandemic.

With stunning fjords, spectacular ancient cities and magical northern lights, there are a million reasons to visit Norway, though booking in 2022 may cost you a touch more than in recent years.

In March 2020, the country’s Air Passenger Duty was temporarily abolished as a relief for airlines during the pandemic. After extending it several times, the government has now announced that it will reintroduce the tax in its 2022 national budget, at a rate of 80 Norwegian krone ($9) per passenger for flights with destinations in Europe and 214 Norwegian krone per passenger for other flights.

The rates correspond to what the fee was before the Covid-19 outbreak, but are adjusted to 2022 levels.

Scoreline

Bournemouth 2

Wilson 70', Ibe 74'

Arsenal 1

Bellerin 52'

Winners

Ballon d’Or (Men’s)
Ousmane Dembélé (Paris Saint-Germain / France)

Ballon d’Or Féminin (Women’s)
Aitana Bonmatí (Barcelona / Spain)

Kopa Trophy (Best player under 21 – Men’s)
Lamine Yamal (Barcelona / Spain)

Best Young Women’s Player
Vicky López (Barcelona / Spain)

Yashin Trophy (Best Goalkeeper – Men’s)
Gianluigi Donnarumma (Paris Saint-Germain and Manchester City / Italy)

Best Women’s Goalkeeper
Hannah Hampton (England / Aston Villa and Chelsea)

Men’s Coach of the Year
Luis Enrique (Paris Saint-Germain)

Women’s Coach of the Year
Sarina Wiegman (England)

Key figures in the life of the fort

Sheikh Dhiyab bin Isa (ruled 1761-1793) Built Qasr Al Hosn as a watchtower to guard over the only freshwater well on Abu Dhabi island.

Sheikh Shakhbut bin Dhiyab (ruled 1793-1816) Expanded the tower into a small fort and transferred his ruling place of residence from Liwa Oasis to the fort on the island.

Sheikh Tahnoon bin Shakhbut (ruled 1818-1833) Expanded Qasr Al Hosn further as Abu Dhabi grew from a small village of palm huts to a town of more than 5,000 inhabitants.

Sheikh Khalifa bin Shakhbut (ruled 1833-1845) Repaired and fortified the fort.

Sheikh Saeed bin Tahnoon (ruled 1845-1855) Turned Qasr Al Hosn into a strong two-storied structure.

Sheikh Zayed bin Khalifa (ruled 1855-1909) Expanded Qasr Al Hosn further to reflect the emirate's increasing prominence.

Sheikh Shakhbut bin Sultan (ruled 1928-1966) Renovated and enlarged Qasr Al Hosn, adding a decorative arch and two new villas.

Sheikh Zayed bin Sultan (ruled 1966-2004) Moved the royal residence to Al Manhal palace and kept his diwan at Qasr Al Hosn.

Sources: Jayanti Maitra, www.adach.ae

If you go...

Etihad Airways flies from Abu Dhabi to Kuala Lumpur, from about Dh3,600. Air Asia currently flies from Kuala Lumpur to Terengganu, with Berjaya Hotels & Resorts planning to launch direct chartered flights to Redang Island in the near future. Rooms at The Taaras Beach and Spa Resort start from 680RM (Dh597).

UAE%20v%20West%20Indies
%3Cp%3EFirst%20ODI%20-%20Sunday%2C%20June%204%20%0D%3Cbr%3ESecond%20ODI%20-%20Tuesday%2C%20June%206%20%0D%3Cbr%3EThird%20ODI%20-%20Friday%2C%20June%209%26nbsp%3B%3C%2Fp%3E%0A%3Cp%3EMatches%20at%20Sharjah%20Cricket%20Stadium.%20All%20games%20start%20at%204.30pm%0D%3Cbr%3E%0D%3Cbr%3E%3Cstrong%3EUAE%20squad%3C%2Fstrong%3E%0D%3Cbr%3EMuhammad%20Waseem%20(captain)%2C%20Aayan%20Khan%2C%20Adithya%20Shetty%2C%20Ali%20Naseer%2C%20Ansh%20Tandon%2C%20Aryansh%20Sharma%2C%20Asif%20Khan%2C%20Basil%20Hameed%2C%20Ethan%20D%E2%80%99Souza%2C%20Fahad%20Nawaz%2C%20Jonathan%20Figy%2C%20Junaid%20Siddique%2C%20Karthik%20Meiyappan%2C%20Lovepreet%20Singh%2C%20Matiullah%2C%20Mohammed%20Faraazuddin%2C%20Muhammad%20Jawadullah%2C%20Rameez%20Shahzad%2C%20Rohan%20Mustafa%2C%20Sanchit%20Sharma%2C%20Vriitya%20Aravind%2C%20Zahoor%20Khan%0D%3C%2Fp%3E%0A

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

Real estate tokenisation project

Dubai launched the pilot phase of its real estate tokenisation project last month.

The initiative focuses on converting real estate assets into digital tokens recorded on blockchain technology and helps in streamlining the process of buying, selling and investing, the Dubai Land Department said.

Dubai’s real estate tokenisation market is projected to reach Dh60 billion ($16.33 billion) by 2033, representing 7 per cent of the emirate’s total property transactions, according to the DLD.

Groom and Two Brides

Director: Elie Semaan

Starring: Abdullah Boushehri, Laila Abdallah, Lulwa Almulla

Rating: 3/5

Desert Warrior

Starring: Anthony Mackie, Aiysha Hart, Ben Kingsley

Director: Rupert Wyatt

Rating: 3/5

The National in Davos

We are bringing you the inside story from the World Economic Forum's Annual Meeting in Davos, a gathering of hundreds of world leaders, top executives and billionaires.

THE CLOWN OF GAZA

Director: Abdulrahman Sabbah 

Starring: Alaa Meqdad

Rating: 4/5

What is a robo-adviser?

Robo-advisers use an online sign-up process to gauge an investor’s risk tolerance by feeding information such as their age, income, saving goals and investment history into an algorithm, which then assigns them an investment portfolio, ranging from more conservative to higher risk ones.

These portfolios are made up of exchange traded funds (ETFs) with exposure to indices such as US and global equities, fixed-income products like bonds, though exposure to real estate, commodity ETFs or gold is also possible.

Investing in ETFs allows robo-advisers to offer fees far lower than traditional investments, such as actively managed mutual funds bought through a bank or broker. Investors can buy ETFs directly via a brokerage, but with robo-advisers they benefit from investment portfolios matched to their risk tolerance as well as being user friendly.

Many robo-advisers charge what are called wrap fees, meaning there are no additional fees such as subscription or withdrawal fees, success fees or fees for rebalancing.

Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

Four motivational quotes from Alicia's Dubai talk

“The only thing we need is to know that we have faith. Faith and hope in our own dreams. The belief that, when we keep going we’re going to find our way. That’s all we got.”

“Sometimes we try so hard to keep things inside. We try so hard to pretend it’s not really bothering us. In some ways, that hurts us more. You don’t realise how dishonest you are with yourself sometimes, but I realised that if I spoke it, I could let it go.”

“One good thing is to know you’re not the only one going through it. You’re not the only one trying to find your way, trying to find yourself, trying to find amazing energy, trying to find a light. Show all of yourself. Show every nuance. All of your magic. All of your colours. Be true to that. You can be unafraid.”

“It’s time to stop holding back. It’s time to do it on your terms. It’s time to shine in the most unbelievable way. It’s time to let go of negativity and find your tribe, find those people that lift you up, because everybody else is just in your way.”

Dust and sand storms compared

Sand storm

  • Particle size: Larger, heavier sand grains
  • Visibility: Often dramatic with thick "walls" of sand
  • Duration: Short-lived, typically localised
  • Travel distance: Limited 
  • Source: Open desert areas with strong winds

Dust storm

  • Particle size: Much finer, lightweight particles
  • Visibility: Hazy skies but less intense
  • Duration: Can linger for days
  • Travel distance: Long-range, up to thousands of kilometres
  • Source: Can be carried from distant regions
Electric scooters: some rules to remember
  • Riders must be 14-years-old or over
  • Wear a protective helmet
  • Park the electric scooter in designated parking lots (if any)
  • Do not leave electric scooter in locations that obstruct traffic or pedestrians
  • Solo riders only, no passengers allowed
  • Do not drive outside designated lanes
Updated: January 21, 2022, 3:45 AM