CTDF wins case in retrospective collection of room-tax

WILLEMSTAD — Chogogo Resort Curaçao N.V. is still to pay a considerable amount on retrospective collection of room-tax (LGB). The judge put government institution Curaçao Tourism Development Foundation (CTDF) in the right following the appeal in the case against Chogogo Resort.

 
In the case CTDF versus Chogogo Resort the main question was if CTDF demanding retrospective collection of room-tax violated the principle of equality. The appeal to a higher court by Chogogo Resort was disallowed.
 
Chogogo appealed to the exemptions applicable for larger hotels from international chains. As the latter were often given an exceptional position an exempted from payment the resort referred to the principle of equality. CTDF-lawyer Mirto Murray stated that the Chogogo Resort hadn’t paid LGB for ‘several years’, but he refused to disclose the total amount for privacy reasons. “It regards a considerable amount”, Murray said.
 
As the Amigoe reported earlier a start was made to collect overdue room-tax at the time of the Schotte-cabinet when a new law in 2010 dictated that the room-tax applied for all local hotels. Consequently several hotels and resorts, including Chogogo, were charged after-tax. “Actually the legal discussion was actually unnecessary because the enactment that became effective in January 2013 (whereby 7 percent LGB was changed to 7 percent sales tax) applied for all hotels and resorts. In the end it regarded a matter of principle”, the lawyer said.
 
(Amigoe)
 
Mirto Murray is an attorney and partner at SMS Attorneys at Law on Curacao.

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