The Tribune

By KYLE WALKINE

Tribune Staff Reporter

kwalkine@tribunemedia.net

ATLANTIS president and marketing director George Markantonis said yesterday that the hotel will be able to handle the 7.5 per cent implementation of Value Added Tax come January 1 of next year, saying that the hotel’s biggest challenge will be changing their software system.

Prime Minister Perry Christie announced yesterday that beginning on New Year’s Day 2015, the controversial VAT will take effect.

Mr Markantonis said executives at the hotel are thankful that VAT has been delayed as it gives them more time to prepare.

“We don’t only have one system,” he said. “We have 30 or 40 systems that we have to look at. We haven’t studied it fully yet. But we will.”

During Mr Christie’s address, he also mentioned that VAT will bring about the reduction of hotel occupancy tax.

Mr Markantonis said it only makes sense to make that change as he said it will be “easily covered by the gains from VAT.”

“There’s no doubt that we have to do something and we knew that. We never said that we wouldn’t support some kind of taxation system. But we’ve always wanted to make sure that it was carefully thought through, which it has been.”

The Atlantis president said they are in full support of the prime minister and of the cabinet to do what needs to be done saying: “There’s finality. Now we just need to get moving.”

Mr Markantonis also commented on the prime minister’s statement that the country saw a five per cent decrease in arrivals last year, which was made up by a six per cent increase in cruise ship passengers.

“We all know the cruise ship passengers are great for the country,” he said. “But at the same time, the people who stay overnight are even more critical for us. We did experience that phenomenon at Atlantis. 2013 was relatively flat to 2012. While it’s too early for 2014, I can say that we’ve had a decent start, except for the month of May.”

The hotel executive said they are, however, hoping for a good summer.

According to Mr Markantonis Atlantis’ electricity bill this year is $69 million.

“So if our utility bill is $69m, you can imagine what our bills are in all the other facets with contributions to government, whether its licence fees, guest room taxes or business promotion board levies. We’re very, very critical to the entire economic health of the nation.”

As it relates to the opening of Baha Mar, set for December 8, and the possibility of occupancy rates dropping for Atlantis, Mr Markantonis said he is not concerned.

He said over the next 20 years Atlantis is going to continue to grow and expand to one day become the greatest resort in the world.