When you look around at other local guesthouses and lodges, you might notice some of them charge a Tourism Levy (TOMSA) on their guest invoices. If you’ve wondered whether your own property should be doing the same, you’ve come to the right place!
Unlike VAT, the Tourism Levy is completely voluntary. Joining the programme is entirely your own business decision, and there is no pressure either way. Think of us as your knowledgeable friend sitting across the table, helping you weigh up the choices so you can make the decision that fits your business style best.
Here is a simple guide to how the levy works, why properties choose to participate (or skip it), and what to consider before you take the plunge.
What is the Tourism Levy (TOMSA)?
Administered by Tourism Marketing South Africa (TOMSA), this levy is a voluntary contribution collected from guests to help market and promote South Africa to the world. A massive range of hospitality businesses participate, from cosy B&Bs and self-catering spots to upmarket safari lodges and hotels.
If you participate, you collect the levy (which is generally 1% of your accommodation rate) from your guests and pay it over to TOMSA. It is important to know that this money doesn't count as additional business income—you are simply holding onto it temporarily before passing it on to help grow our country’s tourism.
Why do some properties participate?
Owners who join the TOMSA programme usually do so because they love being part of a larger, collective effort to boost tourism. By contributing, you are helping to keep the global spotlight shining on South Africa as a dream travel destination, which ultimately brings more travellers to all of our doorsteps!
Why Do Others Choose to Skip It?
It is completely normal to decide that the levy isn't the right fit for your property. Many independent guesthouse owners choose not to participate because:
- They want to keep pricing clean and simple: They prefer having a single, all-inclusive rate with zero extra fees at checkout.
- Their guests expect no surprises: If you host mostly international travellers who book online, they often prefer seeing one clear rate without any extra percentages added to their bill.
- They prefer to market themselves directly: Some owners would rather invest their hard-earned cash directly into their own marketing activities.
If you choose to join: Your new routine
If you decide to register, your daily responsibilities will look like this:
- Charge the levy to your guests.
- Keep a clear, monthly record of the levies you've collected.
- Pay the collected total over to TOMSA according to their guidelines.
Tip: Registration is handled directly through TOMSA, and you can find all the forms and signup details on the official TOMSA website.
Quick Questions Owners Often Ask Us
Do I have to charge it just because the property next door does?
Not at all! Every business makes this decision independently. Do what is best for your property and your peace of mind.
Can I change my mind and stop participating later?
Yes, absolutely. If you register and later decide to withdraw, you can simply contact TOMSA to find out the steps for closing your account.
Does NightsBridge decide whether I charge the levy?
No, never. This is entirely your business decision—we are just here to help you manage your calendar and connectivity once you’ve made your choice!
Before You Decide: A Quick Friendly Tip
Before registering, we highly recommend having a quick chat with your accountant or bookkeeper. Because NightsBridge is a booking system and not dedicated accounting software, your accountant can help you set up a simple spreadsheet or ledger to track these collected funds separate from your business income, keeping your tax season completely stress-free!