SPG reward redemption incurrs tax???
#1
Original Poster
Join Date: May 2012
Posts: 605
SPG reward redemption incurrs tax???
This is a bit new to me. I've done redemptions from SPG, Hilton and Fairmont. I just booked a SPG reward for a stay, and they said I would owe around $50.00 in local and state taxes. I never heard or experienced this before. Was the operator incorrect? I've been booking redemptions for years, this would be the first time I will have to pay tax on a reward stay.
#2
Suspended
Join Date: Oct 2003
Location: New York, NY
Programs: Delta - Gold; Starwood - Platinum; HHonors - Diamond & Avis Preferred
Posts: 10,869
#3
Original Poster
Join Date: May 2012
Posts: 605
That's great, but it wasn't cash and points. Just cash.
#4
#5
A FlyerTalk Posting Legend
Join Date: Apr 2004
Location: GVA (Greater Vancouver Area)
Programs: DREAD Gold; UA 1.035MM; Bonvoy Au-197; PCC Elite+; CCC Elite+; MSC C-12; CWC Au-197; WoH Dis
Posts: 52,135
All three of the provided links address points-only awards. In particular, see http://www.flyertalk.com/forum/20999043-post21.html.
#6
A FlyerTalk Posting Legend
Join Date: Sep 2009
Location: Minneapolis: DL DM charter 2.3MM
Programs: A3*Gold, SPG Plat, HyattDiamond, MarriottPP, LHW exAccess, ICI, Raffles Amb, NW PE MM, TWA Gold MM
Posts: 100,403
Could the $50 really be resort fees?
#7
Original Poster
Join Date: May 2012
Posts: 605
My bad. Long day/night. Just SPG points, no cash. Do not think it was a resort fee. She stated it was for local and state sales tax. Thought it was weird.
#8
A FlyerTalk Posting Legend
Join Date: Sep 2009
Location: Minneapolis: DL DM charter 2.3MM
Programs: A3*Gold, SPG Plat, HyattDiamond, MarriottPP, LHW exAccess, ICI, Raffles Amb, NW PE MM, TWA Gold MM
Posts: 100,403
It might help if you disclose the property and location. It's possible that there could be some weird local "taxes" that are occupancy fees independent of room rates that might be charged for award stays, but IME normal percentage taxes and service charges are not charged on SPG award stays, although IIRC resort fees are.
What does your confirmation say?
Have you tried to call Starwood again and ask another agent for clarification?
What does your confirmation say?
Have you tried to call Starwood again and ask another agent for clarification?
#9
Join Date: Jun 2005
Location: Seattle, WA
Programs: Hilton Gold, AS Lifetime Gold (75K for this year), Marriott Lifetime Titanium Elite, OW Emerald
Posts: 176
It would help to know where this occurred.
#10
A FlyerTalk Posting Legend
Join Date: Sep 2009
Location: Minneapolis: DL DM charter 2.3MM
Programs: A3*Gold, SPG Plat, HyattDiamond, MarriottPP, LHW exAccess, ICI, Raffles Amb, NW PE MM, TWA Gold MM
Posts: 100,403
#11
Original Poster
Join Date: May 2012
Posts: 605
It would be for the Le Meridien in Philadelphia, PA.
#12
Join Date: Jul 2004
Location: Live: IWI; Work: DCA/Everywhere; Play: LAS/SJU/MLE
Programs: AA EXP, DL PM, Hyatt Glob, Marriott Ambassador/LTP, Nat'l Exec Elite, LEYE Gold
Posts: 6,670
Have stayed here on points. Pretty sure there were no taxes/fees of any sort. Used a suite night award to get the "Family Suite" (nice 2-bedroom suite with view of the clock tower). Also stayed here on cash and points and I think I did pay tax on the cash portion.
I'd bet a fair amount that you just got a mistaken agent. In fact I'm pretty sure I've had an agent tell me in the past that I would be responsible for taxes and fees but I didn't pay it any mind.
I'd bet a fair amount that you just got a mistaken agent. In fact I'm pretty sure I've had an agent tell me in the past that I would be responsible for taxes and fees but I didn't pay it any mind.
#13
Original Poster
Join Date: May 2012
Posts: 605
Have stayed here on points. Pretty sure there were no taxes/fees of any sort. Used a suite night award to get the "Family Suite" (nice 2-bedroom suite with view of the clock tower). Also stayed here on cash and points and I think I did pay tax on the cash portion.
I'd bet a fair amount that you just got a mistaken agent. In fact I'm pretty sure I've had an agent tell me in the past that I would be responsible for taxes and fees but I didn't pay it any mind.
I'd bet a fair amount that you just got a mistaken agent. In fact I'm pretty sure I've had an agent tell me in the past that I would be responsible for taxes and fees but I didn't pay it any mind.
#14
Suspended
Join Date: Jun 2012
Location: 0°48′24″N 176°36′59″W
Programs: Taiwan is a country.
Posts: 1,206
With nearly 600 nights.. this has happened to me. Mostly before the awards stays counted to status.
I'd always accept it at check out, let it post to my account, complain to spg and see it removed with some compensation points.
Generally a win if you play it right.
I'd always accept it at check out, let it post to my account, complain to spg and see it removed with some compensation points.
Generally a win if you play it right.