Travel advisors in Nebraska are celebrating this June after the conclusion of Nebraskas legislative session with no new sales taxes levied on travel packages.
This includes professional fees charged by travel advisors, the American Society of Travel Advisors (ASTA) announced.
The proposed sales tax of up to 7.5 percent on travel sold in Nebraska would have resulted in travelers paying an extra $262 on a $3,500 cruise vacation, for example. The added cost aimed at offsetting lower property taxes in Nebraska was feared to have driven travelers to book outside of the state.
ASTA responded by mobilizing a grassroots advocacy effort in Nebraska, organizing advisors and amplifying their voices while reaching out to state senators.
"Travel advisor services are not constrained by geographical boundaries, and they are frequently essential, especially during business travel and unforeseen events," Jessica Klement, ASTA Vice President of Advocacy, said in a statement.
"Taxing the packages advisors sell and the services they provide would not only amount to an additional fee to their clients, but also would ultimately force their clients to seek services outside of Nebraska. LB169 and legislation like it would have serious financial consequences for both Nebraska travelers and travel advisors," she added.
"Nebraska legislators narrowly averted driving all travel booking from their state and harming small Nebraska businesses with this unfair and misguided proposal. I applaud the efforts of the travel advisors in Nebraska to successfully fight against this sales tax, protecting both consumers and their small businesses," Klement concluded.
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