Could a domestic travel tax credit be part of a second stimulus payment?
President Trump’s comments hinted to a possible domestic travel credit at a roundtable discussing with restaurant executives on May 18.
They were discussing the future of the restaurant industry post COVID-19.
Both the restaurant and travel industries have been hit the hardest by the pandemic.
The “Explore America” tax credit would be up to $4,000 and could be used for domestic travel expenses in 2020 and 2021.
“Explore America” — that’s “Explore,” right? Explore America tax credit that Americans can use for domestic travel, including visits to restaurants. That’s a big deal,” President Trump said.
The tax credit, for now, is just a proposal and still needs to be finalized before congress can approve it.
The U.S. travel industry has lost 8.1 million jobs and $519 billion since the COVID-19 pandemic according to ustravel.org.
The U.S. Travel Association President and CEO Roger Dow responded to President Trump’s remarks, saying:
“We are grateful to the president for hearing our call for a national effort to get Americans traveling again as the country shifts into the recovery phase. Travel supported jobs for one in every 10 Americans before the pandemic, and measures to incent travel will not only give people a renewed appreciation for this great country in which we live, but they are an efficient and effective way to ignite a recovery and restore jobs in every corner of the nation. An ‘Explore America’ tax credit and campaign will do wonders to put America back on the path to prosperity. We applaud the president’s support, and with our industry’s health and safety guidance for the reopening of travel businesses in place, we are very prepared to work with the administration to push the effort forward at the right time.”