YVRA Car Rental Agents Fear Business Will be Impacted by Tax Increase

Car rental operators stationed at the Yampa Valley Regional Airport (YVRA) are worried that a proposed car rental tax could knock business down by 10 to 15 percent, reports The Steamboat Pilot & Today.

Hayden, Colo. residents will vote on the proposed tax Nov. 6.

On Aug. 6, the Hayden Town Council voted to send two ordinances to voters. One of the ordinances would increase sales tax on car rentals by 3.5 percent, to 11.4 percent.

According to the news report, the car rental cost currently covers 33 percent of taxes and fees. If the tax should pass, it would increase to 37 percent.

Members of the Town Council believe the YVRA is an untapped resource, citing that other airports charge large fees, and some cities charge taxis for each person they pick up. However, residents noted that if the tax is increased, YVRA would have the highest car rental taxes of all airports in the state of Colorado at 13.4 percent. The number includes all taxes placed on vehicle rentals at the airport, not just eh proposed sales tax.

Many operators fear that the increased cost would cause travelers to fly into the Denver airport and rent their vehicles there. Therefore, renters would not need to rent their vehicles from YVRA agencies.

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