~ Says Harbor Director “the one to decide on increasing this tax” ~
PHILIPSBURG - During this week's COM Press Briefing, the Minister of Tourism, Economic Affairs, Transport and Telecommunication (TEATT), Grisha Heyliger-Marten surprisingly stated that increasing the (Cruise Ship) Head Tax is “up to the Harbor Director” (Alex Gumbs).
Heyliger-Marten acknowledged that the current Cruise Passenger Head Tax for St. Maarten stands at approximately USD 10 per person but was not sure and would have to verify the exact amount.
SXM Talks
gathered that the Head Tax actually stands at USD 6 per arriving passenger as confirmed
here
which is considerably lower than many competing Caribbean destinations.
For instance:
- Bahamas: USD 30 ($ 23 base rate + $ 5 Environment Fee + $ 2 Tourist Enhancement Fee)
- Antigua:USD 10
- British Virgin Islands (BVI): $ 25 (includes Environmental Levy of $ 10)
- Barbados:USD 12
- Jamaica:$ 20
- Mexico: $ 42
Increasing the Cruise Passenger Head Tax (either a straight Head Tax increase or adding a Levy like an Environmental Levy) can generate much-needed revenue for infrastructure improvements, environmental sustainability and tourism development, especially in light of St. Maarten’s “skeleton budget”. Many competing Caribbean destinations have already raised their head taxes, demonstrating that cruise lines and passengers are willing to pay higher fees. A moderate increase could help fund better infrastructure improvements, waste management and island maintenance without significantly impacting visitor numbers. Additionally, with St. Maarten's high cruise arrival numbers, even a small adjustment could result in millions in additional revenue, benefiting government, residents and local businesses.
Furthermore, the Cruise Passenger Head Tax for St. Maarten ($ 6) has not been adjusted for over 20 years, not even an inflation correction was applied. Looking at the considerable impact on the daily lives of residents on the island, especially the strain on the limited infrastructure (traffic), this should be set as a priority action point to implement for the Government of St. Maarten for inclusion in the 2026 budget.
During the Press Briefing, Heyliger-Marten emphasized that any potential increase would require thorough discussions with the cruise industry and a strategic approach to avoid unintended economic repercussions. "It’s a very delicate matter when it comes to increasing the Head Tax," she stated, adding that the decision ultimately rests with the Harbor Director, Alex Gumbs.
She further explained that the government is currently focused on finalizing legislation for a broader tourism tax, primarily targeting stayover visitors. The Minister stressed the importance of evaluating the overall tax structure, including airport departure fees and other charges, before considering adjustments to the Cruise Passenger Head Tax. "We need to take our time and ensure that any changes align with our tourism strategy," she said, noting that discussions with key stakeholders, including the Minister of Finance and the Harbor, would be necessary before any decision is made.
The plan for taxing vacation rentals such as AirBnB, VRBO, Home Away etc on St. Maarten was not mentioned in the Minister’s explanation for tax adjustments.
SXM Government Press Briefing