Tax Increase

[jagoodbar]

Today I received an e-mail from my travel agency with the following info. I copied it and here it is:

Dear Mr. and Mrs. ,

Please be advised that there was a government tax increase on your
booking #XXXXXX (my x's)for the Volendam

The taxes have increased $65.21 per person.

The tax increase has been added to your booking and is reflected in the
balance due portion of your invoice.

If you have any questions or concerns, please contact our customer
service department at 800-344-0401.

Thank you for choosing XXXXXXXXXXX Cruises!

As you can see, they left our last name off, so I assume everyone else that booked this cruise received the same letter. I can't imagine everyone got the exact same price increase. Anyone else receive a similar e-mail.

Jon

[kazu]

Today I received an e-mail from my travel agency with the following info. I copied it and here it is:

Dear Mr. and Mrs. ,

Please be advised that there was a government tax increase on your
booking #XXXXXX (my x's)for the Volendam

The taxes have increased $65.21 per person.

The tax increase has been added to your booking and is reflected in the
balance due portion of your invoice.

If you have any questions or concerns, please contact our customer
service department at 800-344-0401.

Thank you for choosing Best Price Cruises!

As you can see, they left our last name off, so I assume everyone else that booked this cruise received the same letter. I can't imagine everyone got the exact same price increase. Anyone else receive a similar e-mail.

Jon

I don't know but this make sense as our cruise went up about $20- . this is nothing new.

Port charges and taxes do change. Just ask for your invoice showing all ^paid.

[DAllenTCY]

I don't think you are supposed to mention any travel agency by name on this board.
David

[sail7seas]

Not uncommon. It has happened from time to time to us through the years.
The taxes go up, we are responsible to pay them.

This is not HAL's gain in any way.



As you can see, they left our last name off, so I assume everyone else that booked this cruise received the same letter. I can't imagine everyone got the exact same price increase. Anyone else receive a similar e-mail.



Why wouldn't it be the same amount? You're all going on the same ship to the same ports on your particular cruise.
The taxes are usually per person so, yes, every couple (two people) would owe the same amount in tax increase. They probably use this form for the couples they have booked and have a form that states the increase for three people in the cabin or four people.

[jagoodbar]

I don't think you are supposed to mention any travel agency by name on this board.
David

Thanks for the heads up David. I knew this but wasn't thinking. I just corrected it. Also, I'm not upset or am I contemplating canceling our cruise. I just thought it might be of some interest.

Jon

[iancal]

Interesting enough, yesterday I was reading a book about the cruise industry. Carnival Corp did a deal with Belize five or six years ago. It is a twenty year deal. Belize charges the tax BUT it REBATES 80 percent of that tax back to Carnival Corp. My guess is that that passengers get charged 100 percent, not the 20 percent net that is actually paid.

[sail7seas]

Want to share the title of this book with us, please? I'd like to read it.

[holacanada]

I also receive and «adjustment» (!) of more or minus 10.00$ Last month.

Holacanada on Volendam in 246 days, 23 hours, 26 minutes and 52 seconds

[Himself]

John Marshall once said: "The Power to tax is the power to destoy!"

[jtl513]

Often "tax increases" are the result of currency exchange differences between the time you booked and the present. If you booked something in Europe 8 months ago your taxes likely went down, as ours did. If you booked something that goes to Australia or New Zealand your taxes likely increased.

[ibethenanya]

Often "tax increases" are the result of currency exchange differences between the time you booked and the present. If you booked something in Europe 8 months ago your taxes likely went down, as ours did. If you booked something that goes to Australia or New Zealand your taxes likely increased.

And depending on how far out your cruise is they could decrease and increase more than once before you sail.

[kjw869]

Want to share the title of this book with us, please? I'd like to read it.




I believe this in the "deal" regarding Carnival Corp. Not recent news though.

http://sanpedrosun.net/old/04-342.html

[Australian family]

Where is your cruise to?

As New Zealand has lowered its port taxes, they have had such an increase with cruise ships, even with decreasing port taxes they are still making heaps of income.

[Hard-habit-to-break]

John

Yes, we received a similar letter. You are on the Australia to NZ cruise that docks in Auckland on Dec 3? We board that day and come back to Australia. Our increase was $73.82 pp. Could it be to do with the change from Batemans Bay to Eden?

Kirrarne

[Krazy Kruizers]

We have been getting those notices for the last couple of years about increases in taxes. This is nothing new.

A couple of times we have even gotten on the ship and there was a letter in our cabin that there was an increase in taxes and the amount was being added to our shipboard account -- especially on our Panama Canal cruises.

[CtheW0rld]

i've never had a tax increase until last month. i think HAL is doing this on purpose, to keep the price artificially low. then they jack it up when it is too late.

a cruise ship wields incredible power over the local economy when they visit a port. if a port says 'we're raising your fee' the cruiseline could rebuff them by skipping the port in favor of another.

currencies would have to fluxuate a lot for that to even be a consideration. that argument doent hold water with me.

[serendipity1499]

i've never had a tax increase until last month. i think HAL is doing this on purpose, to keep the price artificially low. then they jack it up when it is too late.

a cruise ship wields incredible power over the local economy when they visit a port. if a port says 'we're raising your fee' the cruiseline could rebuff them by skipping the port in favor of another.

currencies would have to fluxuate a lot for that to even be a consideration. that argument doent hold water with me.

You can't be serious! ;)

I'm amazed that you have never had a tax increase..HAL can't legally miss-state taxes & raise them later...We've had many Tax & Port increases on HAL & other cruise lines..This is nothing new..

We've even had Tax/Port charge deductions & cruise lines have either adjusted our final payment or given us OBC for it..

When the Panama Canal taxes/port charges went up several years ago everyone received increases, across the board..

Even Airlines give their Psgrs tax increases at the last minute if the country has raised their taxes..In several South American countries, airport taxes increased tremendously & the passenger had to pay it or not be admitted into the country...

Cheers...:)Betty

[frbob]

We also received these tax increases for this Volendam cruise. I asked HAL which ports increased the taxes and was told they have no information about that. So, if they don't know where these tax increases came from, how do I know if these extra charges are really tax increases? I remain curious as to why HAL doesn't have a specific answer about the origin of these tax increases.

For the record, I hate TAXES in any form! :mad:

[sail7seas]

Interesting enough, yesterday I was reading a book about the cruise industry. Carnival Corp did a deal with Belize five or six years ago. It is a twenty year deal. Belize charges the tax BUT it REBATES 80 percent of that tax back to Carnival Corp. My guess is that that passengers get charged 100 percent, not the 20 percent net that is actually paid.



Thanks for the link to a newspaper article that I think you are indicating was republished in the book you reference?

I'd love to read the book........ could you share the title and author? That republished page spark my interest to read the whole context.

Thanks.

[m steve]

Next time you take a cruise throw the box of Liptons over the side.:eek:

[GmaPajama]

Anyone willing to admit they've received an onboard credit because a port tax was reduced? We did - and I think HAL should be acknowledged for that practice.

[sail7seas]

Yes, we have both gotten a credit when a port was missed and in advance of our cruise, a few times got a letter from PCC stating our account was credited due to a drop in port tax prior to our cruise.

[frbob]

Next time you take a cruise throw the box of Liptons over the side.:eek:


That's funny! A timely comment. I just finished a reprise showing of John Adams, the wonderful HBO series. I, Sir, if you will allow me the independence of my own thoughts, would prefer to dispose of Tetley's. :p

[iancal]

sail7seas: The name of the book is Cruise Ship Squeeze, written by Ross A Klein, published by New Society Publishers. It is an interesting book, looking at the industry in the mid 2000's. Very interesting to read about the importance of excursion and shopping 'recommendations' to the bottom line.

My guess is that the cruise industry would not particularly like it's frequent customers reading this. The book touches on many aspects including growth, environmnent, health, etc. etc. I have had it for a while but just read it last week. The books put an end to a lot of myths about the economic value that cruise ship traffic adds to given ports.

[NMLady]

Anyone willing to admit they've received an onboard credit because a port tax was reduced? We did - and I think HAL should be acknowledged for that practice.

Not an onboard credit, but on our cruise in May on the Amsterdam, at final payment our TA said HAL had reduced the amount $42 because fees had been reduced.
On board, though, we got a notice that some tax had increased so we'd be billed 12-something per person. Even so, between the reduction and the increase we were about $20 to the good.
HAL definitely gives any reductions, as well as the increases.

[sail7seas]

sail7seas: The name of the book is Cruise Ship Squeeze, written by Ross A Klein, published by New Society Publishers. It is an interesting book, looking at the industry in the mid 2000's. Very interesting to read about the importance of excursion and shopping 'recommendations' to the bottom line.

My guess is that the cruise industry would not particularly like it's frequent customers reading this. The book touches on many aspects including growth, environmnent, health, etc. etc. I have had it for a while but just read it last week. The books put an end to a lot of myths about the economic value that cruise ship traffic adds to given ports.

Thank you so much for the title. That is definitely on my reading list and I shall check to see if it's available on Amazon. I really appreciate your sharing this..... Sounds like 'required reading' for a regular cruiser. ;)

[jtl513]

i think HAL is doing this on purpose, to keep the price artificially low. then they jack it up when it is too late.Then why did mine go down?

We also received these tax increases for this Volendam cruise. I asked HAL which ports increased the taxes and was told they have no information about that. So, if they don't know where these tax increases came from, how do I know if these extra charges are really tax increases? I remain curious as to why HAL doesn't have a specific answer about the origin of these tax increases.You were told by TA Aunty Pat on the thread you started complain about this before that your increase was probably not due to any specific port charges but rather a change in currency exchange rate since you booked:
http://boards.cruisecritic.com/showthread.php?p=25117708
Port taxes are charged in the local currency so if there is big change in the exchange rate between when your trip was booked and when you will actually be sailing you can expect that there will be a change in the port taxes you pay when converted to your local currency.

This year many of my clients sailing Australia/New Zealand itineraries had their port taxes almost double because of the devaluation of the USD since they booked their cruises last year. This is probably what happened in your case.

This year clients who booked last year to sail in Europe this year have had their port taxes reduced because of the devaluation of the EUR. In both of these cases none of the changes were port specific, but currency specific.

Whenever an increase was due to an itinerary change or a new tax at a specific port HAL has always made the specific port clear in their notices.

Aunty Pat

[ironin]

Thank you so much for the title. That is definitely on my reading list and I shall check to see if it's available on Amazon. I really appreciate your sharing this..... Sounds like 'required reading' for a regular cruiser. ;)

For more information about the author, here's a link (http://www.cruisejunkie.com/vita.html#Nonacademic%20Emp) to his CV and another link (http://www.cruisejunkie.com/) to his website. Klein, a sociology professor who lives in Newfoundland, has in recent years, begun something of a second career as an expert witness in cases involving the cruise industry.

[Gunther1]

Imagine, if you will, no street lights, paved roads, traffic signals, bridges, public hospitals, public schools, private hospitals , private schools (you can be sure they get benifits of taxes), military, veterans benefits, police, fire fighters, aircraft carriers, social workers, dog catchers, public health workers, child welfare workers, etc.

Taxes, in my mind, are the price for living in society. We can argue endlessly (and probably agree) on how effecient certain taxes are, but I do not hate taxes. I tolerate and appreciate most, but not all, of them.

[sail7seas]

For more information about the author, here's a link (http://www.cruisejunkie.com/vita.html#Nonacademic%20Emp) to his CV and another link (http://www.cruisejunkie.com/) to his website. Klein, a sociology professor who lives in Newfoundland, has in recent years, begun something of a second career as an expert witness in cases involving the cruise industry.


I just ordered the book. ;)

I don't always believe everything I read but this could be interesting. After I finish reading it, I'll be happy to share. The more I pass it around I figure the lower the 'price per read'. :D Maybe it wouldn't be wise to sit at Maasdam's aft pool leafing through it though. :D

[ironin]

I just ordered the book. ;)

I don't always believe everything I read but this could be interesting. After I finish reading it, I'll be happy to share. The more I pass it around I figure the lower the 'price per read'. :D Maybe it wouldn't be wise to sit at Maasdam's aft pool leafing through it though. :D



Oh good! After you've read it, if we're ever on the same cruise together, bring it so I can borrow it - I promise to give it back by the end :D.

[sail7seas]

I'll go one better and be happy to mail it to you and I'll be happy to cover the postage. :)

[iancal]

When you go through the book you will find that Belize is not the only port stop that rebates 'port taxes' back to Carnival. Jamaica does it as well, up to fifty percent of the tax is refunded back to the cruise line subject to annual passenger count.

Another tidbit...ecoli counts increased ten fold on Oregon beaches (one of our favorite vacaton spots) in September to the point where beaches such as Canon Beach we not recommended for swimming in late fall when the cruise ships were moving their fleets south from Alaska down the west coast. Not a coincidence...they regularly flush sewage.

[ironin]

I'll go one better and be happy to mail it to you and I'll be happy to cover the postage. :)



How can I resist? It's a deal! :D I'll be happy to cover the postage, though, and if you aren't diabetic, I'll toss in a coupon for free shipping of a box of See's chocolates in exchange. (As you may already know, See's is highly recommended by our world-renowned thread chocolate expert, RuthC.)

EDIT: I'll email you later.

[sail7seas]

Oh Yes, yes, yes........

Sounds outstanding. :) Thank you.

[mamaofami]

Ironin, me next. And I'll cover the postage too and be glad to mail it on.

[CruiserBruce]

Anyone willing to admit they've received an onboard credit because a port tax was reduced? We did - and I think HAL should be acknowledged for that practice.

We did as well, twice. Once on a Caribbean. It was small- I think $14, or something like that. And, on our cruise next week, our final payment dropped $1 or $2pp, due to a tax decrease.

Some may have forgotten that in the mid to late 90s, there was a class action suit to clarify and streamline "port charges" and "port fees". I don't recall all the details, but generally RCCL and one or two other lines were adding things like tug boat charges and other costs as "port fees" and adding a markup. This stopped, and the amount of "port fees" and "port taxes" dropped significantly. It appears all cruiselines follow the results of this suit.

Now you see it listed as "government taxes" or "fees", or some other words. If you think how much a cruise ship pays to transit the Panama Canal ($200K plus), you might understand the cost of doing business.

[Tickle]

The NZ govt is increasing our GST by 2.5% in October, this is probably the reason for the surcharge! It will affect everything from port charges, food & beverages to shore excursions. But don' forget many of you will benefit from the exchange rate!!!
Paul

[jhannah]

Anyone willing to admit they've received an onboard credit because a port tax was reduced? Yes; but ours, like NMLady, was a reduction of the final payment amount. We've also had increases before final payment. Never had one after, though.

[ironin]

Ironin, me next. And I'll cover the postage too and be glad to mail it on.



Will do! My email is attached to my profile somewhere. Will let you know once I'm done with the book.

As an earlier book by Klein got ripped by a friendly-to-his-viewpoint reviewer for inaccuracies/hearsay and sloppy/inadequate sourcing, I am interested in seeing if he did a better job of it this time.

[mamaofami]

Thanks, and happy reading.

[m steve]

It seems that since the dollar is up, these foreign ports want to make sure Americans pay more. The charges should actually drop for us.

[winnyd]

We havn't heard anything about a tax increase on our upcoming cruise (Carib Dec) I'm wondering is it because we are Canadians? Our laws say once you sign a contract the price is firm. Even fuel surcharges could not be added or were removed on our cruises a couple of years ago because of this protection. Our neighbour was paying $10/day /person next cabin.The cruise line said "If you hadn't paid in full, then you were eligble for the increase . this in our case was incorrect. It works both ways though, We also have never received a reduction on our numourous cruises. We mostly use U.S. T/As as your prices are more favourable than ours.in the brochures,even with the exchange rate.

[jtl513]

We havn't heard anything about a tax increase on our upcoming cruise (Carib Dec) I'm wondering is it because we are Canadians? Our laws say once you sign a contract the price is firm.I doubt that your law would apply to changes in taxes or port fees assessed by other governments, or variations due to exchange rates. Fuel or other surcharges are a different matter entirely.

[NicksPhilly]

We are booked on the Eurodam,and we made final payment,then about a week later I recieved an Email from Hal that the taxes went up $6.68 pp.
I guess as stated,The ports try to gouge every penny they can out of travelers.:mad:

[jtl513]

We are booked on the Eurodam,and we made final payment,then about a week later I recieved an Email from Hal that the taxes went up $6.68 pp.
I guess as stated,The ports try to gouge every penny they can out of travelers.:mad:When my final payment came due my taxes went down by $7.20. I guess all ports don't. ;)

[winnyd]

When we booked this upcoming HAL Cruise The Add said "Fare & Port charges included" Taxes Extra.We just received the bill, Port Charges $980. Gov Taxes $1735.56.I called the T/A He said" Thats the way the Accountant likes it billed. Makes their Adds a bit suspicious to me. when I called the President (Allan) He disagreed with my oppinion that he uses false advertising.What do you think?

[pms4104]

When we booked this upcoming HAL Cruise The Add said "Fare & Port charges included" Taxes Extra.We just received the bill, Port Charges $980. Gov Taxes $1735.56.I called the T/A He said" Thats the way the Accountant likes it billed. Makes their Adds a bit suspicious to me. when I called the President (Allan) He disagreed with my oppinion that he uses false advertising.What do you think?
Did the fare and port charges equal the total you expected to pay before taxes were calculated in?

[winnyd]

Camp 637. Yes they came in the same price as another on line T/a of equal size But they didn't advertise Port Charges inc in Fares like mine did. The end price was exactly the same to the cent when I checked to see if I had been taken .But thats not my point My T/A uses misleading advertising in my opinion When port charges Hover around $3oo/person and are said to be included in the actual fare when they are not.

[blobby113]

I was rung by my travel agent two weeks ago and told that we would have to pay an extra AUD55 per person for our travel in early December. We had already paid the full amount. I asked for a breakdown of the "tax" increase, and after more than a week was sent a form letter with no explanation other than a demand for the money and the relevant pages of the brochure (which were incorrect) and a reference to their website, which must be well-hidden. Interestingly enough the travel agent's email was headed "fuel increase". I am still waiting for an invoice, as I suppose I will have to pay. I'm just glad they didn't put the price up $1000, as the e-brochure says that an increase in "taxes" is not grounds for cancellation. This is my 5th cruise, and I've never been asked for extra money on any of the others (Princess and Royal Caribbean).

[mcduck]

On arriving at our cabin on our Feb 01/11 Zuiderdam Panama cruise there was a letter on the desk indicating that we had received a $29.99 USD per person credit to our on board account for a port tax refund. Great way to start the cruise - not that the credit lasted long!!

[YXU AC*SE]

Anyone willing to admit they've received an onboard credit because a port tax was reduced? We did - and I think HAL should be acknowledged for that practice.


Sure. :-) Here's a letter we received on our last cruise. Scott.

On board ms Rotterdam
August 15, 2011
Rotterdam -- Rotterdam

YXU AC*SE and soldham
Stateroom 3314

NOTICE
Account Revision

Dear YXU AC*SE and soldham

Thank you very much for joining us aboard the ms Rotterdam for this Baltic Adventure. We trust that you will find much to enjoy on your journey with us.

To ensure that you only pay the proper amount of taxes applicable to your cruise, Holland America Line reviews the actual taxes assessed by governmental and quasi-governmental authorities relative to the amount guests previously paid. The difference is either collected or refunded as appropriate. Due to revisions in the port charges for this voyage, the taxes applicable to your cruise have decreased slightly from the amount you paid. Consequently, a credit of 13,78$ per person will automatically appear on your onboard account. We hope you enjoy utilizing these extra funds!

On behalf of the officers, staff, and crew on board the ms Rotterdam, thank you very much for sailing with us. As always, we look forward to making your stay aboard a memorable one.

Sincerely,

Captain Emiel deVries
Master, ms Rotterdam

[catl331]

This is my 5th cruise, and I've never been asked for extra money on any of the others (Princess and Royal Caribbean).We've done 12 HAL cruises, and IIRC we've had one upward adjustment and one downward. It's just how circumstances fall.

[lizziebargain]

I was on the Eurodam in May and had a small onboard credit( maybe about $11) which was a port tax decrease-I have never had this happen before!!



Today I received an e-mail from my travel agency with the following info. I copied it and here it is:

Dear Mr. and Mrs. ,

Please be advised that there was a government tax increase on your
booking #XXXXXX (my x's)for the Volendam

The taxes have increased $65.21 per person.

The tax increase has been added to your booking and is reflected in the
balance due portion of your invoice.

If you have any questions or concerns, please contact our customer
service department at 800-344-0401.

Thank you for choosing XXXXXXXXXXX Cruises!

As you can see, they left our last name off, so I assume everyone else that booked this cruise received the same letter. I can't imagine everyone got the exact same price increase. Anyone else receive a similar e-mail.

Jon