Third quarter 2023 hotel room taxes totaled more than $17.6 million for Anchorage. Collections are up from $15.4 million in Q3 of 2022, a 14% increase year over year. Solid demand for Anchorage hotel stays combined with strong average daily room rates made this quarter’s returns some of the best on record for the community from travel and tourism in terms of local tax collections.
Covering July, August, and September, the third quarter represents some of the busiest months for Anchorage tourism. The community is on track to meet or exceed annual records set for bed tax collections, with $38.1 million in hotel room taxes collected so far.
The Municipality of Anchorage’s Finance Department published the quarterly bed tax totals. Anchorage’s bed tax collections are split evenly three ways: one-third goes to the Municipality of Anchorage general fund; one-third supports operations and pays the bond debt for the Anchorage Convention Centers; and one-third powers the MOA's destination marketing efforts through Visit Anchorage. Learn more about Anchorage's bed taxes.
Vehicle Rental Taxes
The municipality also collects local taxes on car and RV rentals. In Q3, car and RV rental taxes totaled $5.2 million, down 2% compared to Q3 2022. That brings the 2023 total to more than $9.8 million year-to-date. Vehicle rental taxes remain in the general fund.
Visitation is an economic powerhouse for the community. Learn more about how tourism contributes to the community.