Cranbrook tourism: new 3% hotel tax projected to generate $450K annually

The tax will take effect on January 1, 2018.

The Best Western Hotel in Cranbrook is one of the city's hotels collecting the new 3% accommodation tax. — Photo courtesy Best Western Cranbrook

The City of Cranbrook’s application for a three per cent tax on accommodation within the city, through the Municipal and Regional District Tax program has been formally approved. The tax will take effect on January 1, 2018.

The Province will levy the tax on all hotel and motel room stays in the City, along with bed and breakfast establishments with four or more rooms, on behalf of the City. Those tax dollars collected – projected to be approximately $450,000 per year, will in turn be provided to Cranbrook Tourism in order to undertake a comprehensive tourism marketing campaign for Cranbrook.

“This is great news and will go a long way in promoting our city and surrounding area to many different locations,” says Lee Pratt, Mayor of the City of Cranbrook. “It is also great to see our local hotel community join forces and work together to help promote the area.”

“The funds collected from the visitors to our city will be a useful tool and invested back, to market our great community to the rest of the world, therefore bringing more tourists and higher recognition of our community,” says David Kim, Chief Administrative Officer for the City of Cranbrook.

Cranbrook Tourism, a society created and incorporated in 2015, is to market and promote Cranbrook and region as a preferred, year-round destination for leisure, meetings and nature-based travel to attract more visitors to the region, grow the visitor economy and contribute to improve quality of life for residents.

“Cranbrook has a wealth of tourism product, accommodations, attractions, amenities and businesses and is the centre of an incredible mountain destination,” says Chris Andrews, Chair of Cranbrook Tourism. “The ability to market the destination effectively, build partnerships, and align local, provincial and national opportunities will have numerous positive impacts for the community. Cranbrook Tourism is pleased to move forward with implementation of a business plan that establishes an effective and professional organization to represent the local tourism sector.”

Over the next few weeks, local accommodators in the community will be contacted by the Ministry of Finance on how to collect and remit the tax.