US Tax Increases Making Car Hire Prohibitive
Travellers hiring a car in America are getting increasingly frustrated with overbearing car hire prices as tax rises are increased to prohibitive rates.
However, it’s not just customers who are disgruntled; car hire companies in the US are getting angry at having state taxes levied from them and having to justify price increases to customers.
Car rental companies across the US are now hit by 114 separate taxes, double the number that there were ten years ago. As a result, customers can expect to pay anything up to 20 per cent in taxes for their car hire in America depending on the State they visit. High rental prices are beginning to have an influence on which airports holidaymakers book their cheap flights to.
Taxes have been creeping up for months during the recession as car hire companies are targeted as a source of revenue by legislators.
Back in June, Ray Wagner, Vice President of Government and Legislative Affairs for Alamo, Enterprise and National Car Rental spoke on behalf of the Coalition Against Discriminatory Car Rental Excise Taxes: “These arbitrary taxes contradict our country’s principles of democracy and fairness by singling out one group of consumers to fund a wide array of civic projects that benefit cities, counties and states across the board.”
Travellers taking a holiday to America are being advised to book well in advance to secure the best discount prices on their car hire. One analyst recommended contacting the car hire company directly immediately before picking up the vehicle to see if it was possible to rebook and secure last minute deals.
Car Hire News posted by Suzy Broadbent on 05 November 2009
Tax increase, car hire, car rental, US holidays, America
http://enterpriseholdings.com/NewsReleases/Wisconsin_Car_rental_excise_tax_press_release_June09.pdf
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