Hoteliers Fight 900% Tax Hikes in Playa del Carmen

Playa del Carmen, Mexico — The Hotel Council of the Mexican Caribbean has issued a strong appeal to the local government to reconsider a proposed increase in property tax assessments, warning that the measure could severely harm the local economy for businesses and residents alike.

Concerns Over Disproportionate Hikes

According to the council, the new land and construction values—which will serve as the basis for calculating property tax and other municipal contributions starting in 2026—include adjustments described as disproportionate. In some cases, the increases could reach up to 500% or even 900%, depending on the area.

The council emphasized that these hikes would impose a heavier fiscal burden on businesses, hotels, and enterprises of all sizes, potentially leading to operational cutbacks, business closures, and job losses in a municipality heavily reliant on tourism.

Economic Impact on Jobs and Small Businesses

“The projected increase is not only inequitable but comes at a time when Playa del Carmen’s economy still faces significant challenges due to global and local factors that have reduced visitor numbers,” the council stated in a release.

While acknowledging that updating property tax tables falls under municipal authority, hoteliers urged the government to implement adjustments gradually and thoughtfully, taking into account current market conditions and residents’ purchasing power.

“The impact on Playa del Carmen residents’ finances will be considerable if these percentages are applied as proposed. The city’s growth cannot come at the expense of fiscal measures that stifle the productive sector,” they added.

Call for Dialogue

The Hotel Council expressed confidence in the current administration’s willingness to engage in dialogue, urging a responsible review of the proposal to find alternatives that balance tax revenue needs with economic stability.

The issue has also raised concerns among other business sectors in the municipality, who argue that a widespread property tax hike could discourage investment, inflate service costs, and accelerate local inflationary trends.

For now, the municipal government has kept the public consultation process open for feedback on the new values. The proposal must ultimately be approved by the City Council before being sent to the State Congress for final validation.