The provincial government’s “staycation tax deduction” is now in effect for ontarians planning to flee the province this year.
Announced 4 Nov., the credit aims to boost the local business by offering people who book accommodations in Ontario at any time in 2022, a return of 20 percent on lodging costs of up to $ 1,000 per night. person or $ 2,000 per. family.
Some companies welcomed the incentive – which gives a maximum return of $ 200 per person or $ 400 per family – and said they hope it can help those hardest hit by COVID-19 restrictions.
“Everyone suffered,” said Renda Abdo, owner of the Lakeside Motel in Prince Edward County, about 200 miles northeast of Toronto. “People are still very insecure about traveling by plane and too far away from home, so I think that’s perfect timing.”
Geoffrey Wild, owner of The Wild Tart patisserie in Elora, just northwest of Guelph, said the credit could help boost local tourism, which would help a variety of businesses.
“The latest [Omicron] variant, the virus, things like that remind us that it’s nice we can travel locally, travel around our province, “he said
Too late for some
But for some, the credit comes too late.
“They should have introduced it a long time ago,” said Barry Choi, creator of Moneywehave.com, a blog about personal finance and budget travel. “[Businesses] could have spent those dollars in 2021 when things really hurt. ”
Choi said he and his family have already traveled their Ontario trips since just returning to Toronto from a trip to Ottawa.
“I’m going to travel outside of Canada,” he said. “And I can think of many people who are in the same boat.”
In October, Canada promised a general warning that had been in place since March 2020 against all unnecessary travel outside the country.
Recently, the federal government has advised Canadians to avoid all unnecessary international travel to prevent travel-related infections amid a growing number of cases and the spread of the omicron variant of coronavirus.
‘This province is the same size as many countries’
The Canadian Federation of Independent Business (CFIB) says it supports Ontario’s 2022 travel tax deduction.
“It makes sense to postpone it to a time when Ontario could comfortably and safely benefit from it,” said Ryan Mallough, senior director of provincial affairs for Ontario at CFIB.
Wild said Ontario offers something new to see, even for those who have already explored the province.
“To everyone who says, ‘I spent my Ontario travel money’ – my God, this province is the same size as many countries,” he said. “So you can ‘t tell me you’ve made your whole journey yet.”
On its website, the provincial government sets out the details of eligibility, including that Ontarians may claim the credit for accommodation expenses for “a leisure [not business-related] stay of less than one month, “on a short-term stay, such as a: hotel, motel, resort, lodge, bed-and-breakfast establishment, cottage or campsite.
The stay must take place between January 1 and December 31, 2022, the province says, “regardless of the time of payment.”