Originally Posted by
Eastbay1K
Some countries require passport information for non-resident occupancy tax waivers. I'd expect that the hotel is required to maintain the information until whatever statutory period (on reporting, audits, etc.) expires.
It is all nice to speculate from a US-based kitchen, or office, or bathroom as to what hotels in non-US countries should and must do, but most of us have no idea what those local realities might be.
Not being based in the US and having traveled to over 120 countries I can tell you most hotels keep data on file for immigration purposes. There are very few countries that exempt visitors from VAT (in the scheme of the world) so far less the reason.