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DC Council votes to tax tourists 1% for hotel rooms – in an effort to boost tourism

According to Destination D.C., the tax will amount to $1 more per $100 spent by visitors.

WASHINGTON — D.C. council voted on a plan to boost tourism on Tuesday – by taxing tourists and hotel guests more.

Right now, when you book a hotel room, everyone pays taxes. Destination D.C. told WUSA9 it's about $15 for every $100 spent. This new 1% fee that the council approved on Tuesday evening will raise that cost to about $16 for every $100.

District leaders say that tourism took a big hit during the pandemic and has yet to recover. This tax will raise millions of dollars to help D.C. advertise and promote tourism, Destination D.C. said. And they're really going after the global tourists who spend more money during their visit.

Destination D.C. says the District is the eighth most visited city in the country – mainly during the Cherry Blossoms season. But the city is outspent in tourism dollars. For instance, D.C.'s advertising budget is $26 million. Las Vegas spends $150 million selling itself.

The 1% tourism tax will last four years and start in April 2023.

WATCH NEXT: Council considers upping hotel tax to boost DC tourism

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