Temporary tax on short-term accommodations to help fund Vancouver FIFA World Cup 2026
Global News
To help fund the FIFA 2026 World Cup, overnight visitors in Vancouver will be subject to a $2.50 charge on each $100 paid for short-term accommodations beginning Feb. 1, 2023.
The City of Vancouver will be the first to use a “new tool” to help cover the costs of hosting FIFA World Cup 2026 matches, according to the province.
In the fall of 2022, the province said the city requested a temporary increase to the Municipal and Reginal District Tax (MRDT) on “short-term accommodations” to help with the costs of hosting the massive international tournament.
“In response, the province introduced changes to the Provincial Sales Tax Act so eligible communities can apply for an additional Major Events MRDT for as much as 2.5% on short-term accommodation sales,” B.C. Ministry of Finance staff said in a release.
“It is available to other local governments to help fund eligible major events with the potential to draw significant international visitation.”
The temporary tax could generate approximately $230 million in revenue over seven years, the province said.
After consultation with the local accommodation sector, the City of Vancouver, Destination Vancouver and the Province agreed to a Major Events MRDT rate of 2.5 per cent over seven years to help pay for planning, staging and hosting FIFA 2026 matches.
Overnight visitors in Vancouver will be subject to an additional $2.50 charge on each $100 paid on short-term accommodations beginning Feb. 1, 2023.
B.C.’s finance minister Katrine Conroy said the province is happy to support Vancouver in hosting the world-renown event.
