America's 10 most highly taxed destinations for travelers


Published December 18, 2013

| MiniTime

America's 10 most highly taxed destinations for travelers

America's 10 most highly taxed destinations for travelers

In some popular destinations, tourism taxes are adding big bucks to your daily vacation spend.

Chicago: $41.04 a day

The Windy City taxes its visitors on almost every front: a 9.25-percent sales tax, a 16-percent hotel tax, a deep-dish 10.75-percent restaurant tax and a whopping 20 percent on car rentals—and that’s before the extra car rental flat tax of $2.75 per day.

New York City: $38.65 a day

Here's why you should embrace the subway when visiting the Big Apple: the car rental tax nears 20 percent a day. Otherwise, NYC sends the taxman to collect 18 percent at hotels, which includes a daily $2.50 flat tax. By comparison, the 8.88-percent restaurant and sales taxes seem pretty mild.

Minneapolis: $36.70 a day

This Minnesota twin city tops the charts for the highest car rental tax in the land—almost 22 percent a day—as well as the highest restaurant tax, at 10.78 percent. But there’s good news if you’re heading to the Mall of America: shoppers pay no sales tax on clothes or shoes.

Kansas City: $36.61 a day

The Missouri city has one of the highest hotel tax rates in the country—an overall 17.27 percent, when you factor in a daily flat tax of $1.50. Car rentals also carry a $4-a-day flat tax beyond the basic 15-percent rate.

Indianapolis: $36.00 a day

Hotel taxes in this Indiana hub are a steep 17 percent, and there’s also a 17-percent car rental tax, and a 9-percent restaurant tax.

Cleveland: $35.41 a day

This Ohio city plays it tough with tourists, ranking in the top 10 for both hotel taxes (16.5 percent) and car rentals (18.52 percent, including a $6-a-day flat tax). The local sales tax also pushes 8 percent.

Boston: $35.32 a day

Beantown is fairly tourist-friendly when it comes to both hotels (14.45 percent) and sales tax (just 6.25 percent). But car rentals carry a tax of nearly 24 percent a day, including a daunting $10-a-day flat tax.

Seattle: $35.11 a day

While the Emerald city lands among the 10 worst for car rental taxes (17.2 percent), what pushes Seattle into the overall most-taxed list is its 9.5-percent sales and restaurant taxes.

Nashville: $34.75 a day

Shopping and eating out add up fast in Music City—9.25-percent taxes for each—and the hotel tax approaches 18 percent, thanks to a daily flat tax of $2.50.

Houston: $34.16 a day

The old saying that “everything is big in Texas” loses its charm when those things are taxes. Your car rental comes with a 15-percent tax, the sales tax is 8.25 percent and hotels lob on a 17-percent tax.

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