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Yussara Canales Opposes New Tourist Tax in Puerto Vallarta

By Tribune Travel

February 13, 2025

Yussara Canales, a legislator from the Partido Verde Ecologista de México (PVEM), has openly criticized a recently approved proposal by the Jalisco Congress to charge foreign tourists visiting Puerto Vallarta a fee of 141 pesos. While the measure aims to enhance tourism development and infrastructure, Canales strongly opposes it, calling it “unconstitutional, disproportionate, and discriminatory.”

A “Fiscal Wall” for Puerto Vallarta

Canales likened the initiative to Donald Trump’s controversial policies, accusing the mayor of Puerto Vallarta of creating a financial barrier for tourists. “Instead of building walls, he’s imposing tolls on tourists. What’s next? Requiring visas for the beach or passports for the Malecón?” she remarked.

She argued that the proposal violates Article 11 of the Constitution, which guarantees free transit, and Article 117, Section IV, which prohibits states from taxing the movement of people or goods. “This is not up for interpretation. Their eagerness to impose taxes lacks both legal and moral grounds,” she stated.

Key Reasons for Rejection

Canales outlined three main points to oppose the tax:

  1. Double Taxation: Foreign tourists already pay an increased lodging tax, which rose to 4% this year and is expected to reach 5% next year. Adding another fee is unjustifiable, according to the legislator.
  2. Unconstitutionality: The measure contradicts constitutional principles, and its discussion in committees is already legally questionable.
  3. Healthy Municipal Finances: The Municipal Treasury confirmed in December 2024 that Puerto Vallarta’s finances are stable. “Why demand more revenue if the municipality doesn’t need it?” she asked.

Details of the New Fee

The proposal, approved in the Finance Committee with 10 votes in favor and two abstentions, aims to boost Puerto Vallarta’s tourism infrastructure. Gabriela Cárdenas, a legislator from Movimiento Ciudadano, explained that the funds will be managed through a trust dedicated to improving public services and enhancing the city’s tourism appeal.

“This initiative seeks to dignify public spaces and provide better municipal services for both residents and visitors,” Cárdenas said. To ensure transparency, quarterly reports detailing the use of the funds will be required, a measure supported by legislators like Tonatiuh Bravo.

The fee, if passed by the full Jalisco legislature, will be collected by the Municipal Treasury. Exemptions will apply to children under 14, individuals with disabilities, tour guides, and operators.

Concerns Over Discrimination

Canales raised concerns about how foreign tourists will be identified, warning it could lead to racial profiling. “How will they determine who’s a tourist? By assuming someone is foreign because they’re blonde or have almond-shaped eyes? This fosters unacceptable stereotypes and discrimination,” she argued.

She also criticized the lack of proportionality, as the tax would impose the same fee on tourists regardless of their economic background. “You can’t charge the same amount to an American tourist as you would to someone from Guatemala or the Dominican Republic. This violates the constitutional principle of tax proportionality.”

Economic and Social Impact

Canales warned that implementing such a tax could have significant negative repercussions on Puerto Vallarta’s tourism and economy. She referenced a similar measure in Quintana Roo, which caused a decline in tourism as visitors opted for alternative destinations like the Dominican Republic and The Bahamas.

Furthermore, she emphasized that while the funds would be directed toward tourism zones, they would neglect the needs of local communities facing basic service issues. “It’s ironic because the people living in these underserved areas are the ones who make this municipality a paradise for vacationers,” she added.

Transparency Concerns Over Trust Funds

Another major criticism from Canales was the proposed use of a trust fund to manage the collected revenues. She described trust funds as synonymous with corruption, citing the Federal Auditor’s findings about their opacity and lack of accountability.

Canales also called out Morena legislators, reminding them of President López Obrador’s strong opposition to trust funds during his tenure. “Will they go against the principles of the Fourth Transformation? Will the people of Vallarta see whose side they’re really on?”

Supporters Argue for Positive Change

Supporters of the measure, like Gabriela Cárdenas, argue that the fee will address the city’s growing needs and improve the tourist experience. They insist that the funds will be allocated transparently to enhance public spaces and municipal services, benefiting both residents and visitors alike.

Call to Action

In her closing remarks, Canales urged her colleagues to prioritize the interests of Puerto Vallarta’s residents. “It’s time to reveal your true colors. Are you for the people or for the interests of a privileged few? Let your actions speak louder than empty rhetoric,” she concluded.

Her fierce opposition highlights broader concerns about the social and economic consequences this measure could bring to Puerto Vallarta, as well as the need for legislative integrity and transparency in its execution.

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