If your property is part of the Tourism Marketing South Africa (TOMSA) programme, you are doing something wonderful for our industry! Think of the Tourism Levy like a tiny, shared investment we all make to keep the global spotlight shining on South Africa as a dream destination. By collecting this small contribution, you're actively helping to put African hospitality on the map.
Of course, collecting and paying over the levy does come with a bit of monthly admin. To help make this part of your business as simple and stress-free as possible, we’ve put together this friendly guide on how to calculate, track, and pay your levy with absolute confidence.
How is the Tourism Levy calculated?
For participating properties, the calculation is incredibly straightforward: the Tourism Levy is generally 1% of the accommodation (room) rate.Here is a quick look at what that means for different room rates in real life:
| If your room rate is... | The 1% Tourism Levy will be... |
|---|---|
| R750.00 | R7.50 |
| R950.00 | R9.50 |
| R1100.00 | R11.00 |
| R1500.00 | R15.00 |
| R2500.00 | R25.00 |
Note: If you run special offers, packages, or bundled stays, the levy is still generally calculated on the final accommodation amount you actually charge the guest. If you are ever unsure about how to work this out for a complex booking, it is always safest to pop a quick question to your accountant or bookkeeper.
Should you charge the levy separately? (The two options)
When it comes to presenting the levy to your guests, there is no single "correct" way to do it. You can choose the approach that best fits your daily operations and your guests' expectations:
Option 1: Show the levy as a separate line item 📑
Some properties prefer to list the Tourism Levy separately on their quotes and invoices so guests can see exactly what is being collected.
| Description | Amount |
|---|---|
| Accommodation | R1100.00 |
| Tourism Levy (1%) | R11.00 |
| Total | R1111.00 |
Best fit for: Larger hotels, guest lodges, and corporate accommodation providers who need highly detailed line-item billing for company bookings.
Option 2: Include the levy in your advertised room rate (Highly Recommended) 🏨
Many independent accommodation providers choose to absorb the levy directly into their public room price so guests only see one clean, simple number.
| Description | Amount |
|---|---|
| Accommodation | R1111.00 |
Best fit for: Smaller guesthouses and boutique properties. Because guests booking online generally expect to see a single, clear price without unexpected extras at checkout, this keeps your booking engine looking clean, simple, and incredibly welcoming!
- Keep in mind: Even though the guest won't see a separate line item, your business will still calculate and record the 1% levy internally behind the scenes.
How to manage the levy (And how NightsBridge fits in)
Because the Tourism Levy is a voluntary industry contribution rather than a statutory tax (like VAT), most reservation systems do not have built-in tools to calculate or report on it.
NightsBridge is designed to be your property's ultimate connector - helping you manage your rates, sync your availability, and secure more bookings across the web. Because we are not an accounting system, our software doesn't include a general ledger to manage financial liabilities.
To keep your records 100% accurate and make your monthly pay-overs a breeze, here is the easiest way to track the levy:
1. Keep a simple record outside of NightsBridge:
Whether you use a basic spreadsheet, dedicated accounting software, or your Property Management System (PMS), make sure you keep a running monthly log of your total accommodation revenue and the 1% levy collected.
2. Separate your totals if you choose Option 2:
If you include the levy in your overall room rate, remember to identify and extract that 1% portion in your bookkeeping records so you can easily report it at the end of the month.
Paying the levy to TOMSA
Once a month, you will need to pay the collected levies over to TOMSA. Here is a simple, stress-free routine to get this done:
- Step 1: Calculate the total Tourism Levy collected from your checkout guests over the past month.
- Step 2: Reconcile this final total against your accommodation bookings to ensure everything matches up.
- Step 3: Submit the payment to TOMSA using their approved payment methods.
- Step 4: Safely file away your proof of payment with your financial records for peace of mind.
Tip: For the latest payment guides, bank details, and due dates, you can check the official TOMSA website directly.
Frequently Asked Questions
Do I have to display the levy on my guest invoices?
No, not at all. You are entirely free to bundle the levy into your room rates or show it as a separate line item—whichever matches your style.
Should I calculate the levy on discounted rates?
Yes, the levy is calculated on the actual amount the guest pays for their room. If they received a discount, you calculate the 1% on that lower, final room charge.
Can I round the levy to the nearest Rand?
To keep your books tidy and consistent, it’s best to stick to the same rounding practice throughout your accounting. If you're unsure, a quick chat with your bookkeeper will get you sorted!