Foreign visitors traveling to the popular beach destination of Puerto Vallarta on Mexico’s Pacific Coast will soon be required to pay a tourist fee under a controversial new law recently approved by Jalisco’s Congress.
Deputy Gabriela Cárdenas from the Movimiento Ciudadano (MC) party and president of the Finance Committee said that the collected funds will be allocated to a trust fund for infrastructure projects to “dignify the port of Puerto Vallarta.” These projects will include improvements to streets, public spaces, plazas and the tourist strip.
The new tax exempts foreigners residing in Puerto Vallarta, foreign tourists under 14, people with disabilities, tourist guides, tour operators, airline and cruise ship crew, and workers in the tourism industry.
Estimates suggest that Puerto Vallarta will collect between 300 and 500 million pesos (US $14 to $24 million) of funds from the new tax.
Deputy Yussara Canales of the Green Party (PVEM), who represents Puerto Vallarta in Jalisco’s Congress, questioned the proposal. She argued that no state has the faculty to impose taxes on transit through the territory and even deemed it “unconstitutional.”
“[This is] a tax on the transit of people, disguised as a fee for the use of services, welfare and municipal public spaces,” she said.
Indeed, article 117, fraction V of the Mexican Constitution says that “under no circumstances,” can states tax the “free transit of people or things that cross its territory.”
Currently, each foreign tourist entering Mexico pays a fee of 717 pesos (US $35) to transit or remain in the country for up to 180 days, without permission to engage in paid activities. This fee, dubbed “Non-Resident Tax,” (DNR) can only be collected by the federal government.
Until 2023, the Federal Tax Law (LFD) allowed 20% of the amount collected by DNR to be allocated to the National Migration Institute to provide migration services. The remaining 80% was allocated to the country’s planning, studies, infrastructure and tourism projects.
Since 2024, the funds collected from the DNR have been allocated to infrastructure works by the army, such as the Maya Train.
The new LFD also requires every cruise ship passenger docking at Mexico’s ports to pay US $42 passenger fee starting July 1. The DNR didn’t previously apply to cruise ship passengers stopping in Mexican ports, as they would, on average, stay in the country for less than eight hours.
With reports from El Informador and Crónicas Jalisco
Editor’s note: After publication, the mayor of Puerto Vallarta said this new state fee will be voluntary. The state of Jalisco’s announcement, however made no mention of the payment being voluntary. Instead, it said: “With the goal of improving infrastructure and maintaining the quality of public services, the creation of a new tax on lodging for foreigners has been approved for the municipality of Puerto Vallarta.”
As a resident of Puerto Vallarta and avid reader of local news, the new “tax” will be voluntary, with modules positioned in the airport and cruise ship terminal to collect the “tax” and explain its purpose. More like a contribution of sorts to further infrastructure development. Unrelated to the national tourism and cruise ship fees.
Hmmmm, interesting. If true a great idea.
“Voluntary tax”? The article made it sound rather mandatory!
Any mention of taxes being collected on the cartels for their extortion, kidnapping, and, drugs!
You should go and make the report to the authorities ASAP.
Right!!
I was thinking the same thing ..they poisoned me there and during a spa treatment at an ” all inclusive’ a woman was trying to prick my neck with a needle …not an extraction a real needle to the neck. You couldn’t pay me a million dollars to ever go back.
Good idea
Would this apply to foreigners arriving fr other parts of Mexico?
Voluntary tax should be called donation
stupid
Why shouldn’t tourists pay towards the improvement of a cities infrastructure? Tourist tax is in place in many places in the world. eg The use Money analyzed some of the world’s most popular tourist spots—relying on data from government websites and news reports—then calculated the tourist taxes in those cities. It turns out the highest tourism taxes can be found in the U.S. Honolulu tops the list with a staggering 10.25% tax rate plus a 3% surcharge, translating to an average nightly tourism tax of $51.70. With the average hotel room in Honolulu costing $390, a week-long stay could rack up $361.93 in taxes—and that doesn’t even include resort fees.
San Francisco ranks second with a 14% transient occupancy tax for stays under 30 days, averaging nearly $30 per night in taxes. Los Angeles takes third place with a 12% tax on nightly room rates. Amsterdam ranks fourth, charging a 7% tourist tax plus a nightly fee of €3. Rounding out the top five is Orlando, where visitors pay a 6% sales and resort tax.
Omg, everytime a tourist stays anywhere in the world the owners of the properties, restaurants, shops, etc pay taxes. They pay those taxes out of the proceeds from tourists. Btw compared to most areas in Mexico PV has good infrastructure. Every increase in price, of everything, lessens demand.
Hotel fees or taxes are a different deal than this proposal. Mexico already adds a hotel or “VAT” tax to hotel stays and Airbnb’s. If you are a foreigner and own an Airbnb or VRBO in Mexico, the government tacks on an exta 20% income tax.
Taxes in general are out of control no matter where you go!
The across the board tax for this should be only 6 percent for Orlando Honolulu and other states collecting for Hotel stays and so Forth ok The Greedyness stops now u know and also it should be unconstitutional to obtain such a tax from travelers that choose to vacation spots wherever they like yeppers yes indeed.
“Don’t tax you,
Don’t tax me,
Tax that fella behind the tree.”
—- Russell B. Long
How is it going to be collected? It appears not as a hotel tax which is normal for cities but as people get off planes and boats? What about people that drive to PV? Just trying to understand this new law.
The airlines and cruise lines would add the tax to your ticket.
I’m an American and I have been in PV many times. This tax is minimal and is going assist local infrastructure I will have no issues paying this tax. No one I know will have any problem with this tax. Beautiful country with lots to offer. Tommy Lee than you
The tax will certainly drive some people away to other destinations. Higher taxes don’t result in more business for locals, it results in less.
Yes Sir, correct!
Is the money actually going to “infrastructure” or graft? We had a lot of BS “infrastructure” bills in the US since Obama was president with little to show for it. Is it going to pay for the new airport terminals at PV airport? That’s usually a separate airport fee, not a tourism tax on non nationals.
Not a bad idea if the money is to be used for what they say. The problem is that the politicians will end up keeping that money for themselves.
Taxes are already collected at the hotels, and has been for a long time. I have the perfect solution… do not go to Puerto Vallarta. What other industry is there? None!! If there is no tourism there will be no Puerto Vallarta.
We should charge any foreigner that comes into this country legal and illegal and charge the government of origin that will be really good it’ll help to finance the wall
I’ve been to PV several times and will continue to go there. It’s a beautiful town. This won’t deter me from going there on vacation.
Extortion nothing coming from mexico .nothing will be fixed .it’s for their pockets mexico is a correct country the president is the leader along with her cartel leaders .the president could stop this but she won’t. It’s more mo new for her and her clowns the cartels skinless P.I.S JUST THE PRESIDENT.
Living in California we love visiting Hawaii yet the tourist taxes went so high we gravitated towards PV. If PV’s taxes become impossible our travel destination will be solely, Nevada.
How about PV seek to situate a Caesar’s Resort along the malecon and put slot machines in the airport like Las Vegas does. It’s a less painful way to get tourism money.
This is like the gas tax, they tax you but they use the money for something other than road and bridge repair.
Mexico already has one of the highest hotel bed taxes in the world (usually 22% in PV), plus as the article says, everyone flying into the country is paying an extra tax to the federal government on top via their air ticket. Then there’s a tax on rental cars, high tolls for the highway if driving in, and a 16% VAT tax on virtually everything purchased while visiting. If they can’t pretty up the port with all that, something’s wrong with the financial management…
We have been going in January for 15 yrs makes us think again. We Love ptv and all the people!
I was working for an airline with $79 fares from USA to Puerto Vallarta, Mazatlan, Manzanillo, Acapulco, and Cancun. We sold many 3 & 4 night vacation packages.
When 9/11 hit, the US threw a $150 departure tax for air travel to Mexico. Suddenly 3&4 night packages disappeared. Americans traveled less often and stayed longer. Cancun exploded with tourists while the west coast dried up. Puerto Vallarta came back as they marketed themselves as a 7 day destination like Cancun. But the rest dried up and the cartels moved in. Cabo is a different story I don’t comment on here.
I was working for an airline with $79 fares from USA to Puerto Vallarta, Mazatlan, Manzanillo, Acapulco, and Cancun. We sold many 3 & 4 night vacation packages.
When 9/11 hit, the US threw a $150 departure tax for air travel to Mexico. Suddenly 3&4 night packages disappeared. Americans traveled less often and stayed longer. Cancun exploded with tourists while the west coast dried up. Puerto Vallarta came back as they marketed themselves as a 7 day destination like Cancun. But the rest dried up and the cartels moved in. Cabo is a different story I don’t comment on here.