travel domestically.
“The tourism and hospitality industries were among the hardest hit sectors across the country and their revival is critical to our economic recovery,” Sen. McSally said. “Arizona has lost billions in revenue this year alone due to the pandemic.”
Sen. McSally sponsored the American Tax Rebate and Incentive Program (TRIP) Act, S. 4031, which would establish a temporary nonrefundable personal tax credit for travel, hospitality and entertainment expenses, according to the text of the bill.
Additionally, the bill would provide funding for Destination Marketing Organizations (DMOs) to promote the travel and tourism industry across the nation, according to a bill summary provided by Sen. McSally’s office.
“My legislation will help boost domestic travel and jumpstart the comeback of our hotels, entertainment sectors, local tourism agencies, and the thousands of businesses that make Arizona one of the best places in the world to visit,” said Sen. McSally. “It will also encourage Americans to safely get out of their homes and discover or rediscover Arizona along with the rest of the amazing destinations our country has to offer after a difficult several months stuck inside.”
If enacted, S. 4031 would provide a $4,000 travel credit for individuals, and $8,000 for joint filers, plus an additional $500 credit for dependent children, for 2020, 2021, and 2022, according to the summary, which says the credit would apply to all travel within the United States and its territories as long as the travel, expenses and final destination is 50 miles from the principal residence of the filer(s).
For filers who own a second home, expenses related to live entertainment, food and beverage, and transportation qualify, but expenses related to the dwelling, such as mortgage, interest, maintenance, etc., would not qualify.
“I look forward to working with both sides of the aisle in the Senate and House to restart an important part of the economy by passing this bill,” Sen. McSally said.