Commentary on Provisions Part 2 – Key Concepts Section 11 – Exemptions and rebates
26.Under this section, the Scottish Ministers may, by regulations, create particular exemptions from the liability to pay the levy and provide for cases in which the levy may be reimbursed (subsection (1)(a)). For example, regulations may provide that the levy is not chargeable where a person purchases overnight accommodation for the purpose of accessing hospital treatment in the area in which the scheme operates. Regulations under this section may also provide for the issuing of exemption vouchers to certain categories of persons to allow those persons to demonstrate that they qualify for a particular exemption from the levy (subsection (1)(b)). Taking the example above, exemption vouchers could be issued to persons attending a hospital for medical treatment. These vouchers might then be retained by the liable person to evidence the fact that the transaction was not subject to the levy.
27.The Scottish Ministers, without prejudice to the generality of subsection (1), may also specify a maximum number of nights which are subject to the levy (subsection (2)). The regulations may provide for an exemption from or rebate of the levy in relation to a single or multiple chargeable transactions at the same overnight accommodation for consecutive nights (subsection (3)(a)). Subsection (3)(b) also allows for the Scottish Ministers to specify the method of calculating the relevant amount of the levy given that the method of calculation may change the levy payable. For example, the calculation may disregard nights beyond the maximum number or use an average nightly cost over the length of the stay (to account for surge pricing). Regulations may specify different maximum numbers of rights for different purposes, but not for different areas (subsection (4)).
28.Before making any regulations under this section, the Scottish Ministers must consult local authorities, such persons as they consider to be representative of communities, businesses engaged in tourism and tourist organisations, as well as such other persons as they consider appropriate (subsection (5)). Regulations made under this section are subject to the affirmative procedure (subsection (6)).