The temporary tax credit created under the Travel America Now Act - $500 per individual or $1,000 if filing jointly - will cover expenses associated with airplane, cruise, train and bus tickets, hotel and motel accommodations and rental cars.  It will also temporarily restore full deductibility for all business entertainment expenses, including meals, which are now subject to a 50 percent limitation.

     The temporary tax credit would take effect upon passage of the bill and expire at the end of the current tax year, December 31, 2001.

     “Not only does the Travel America Now Act offer attractive tax incentives to encourage Americans to travel once again, but it also provides much needed tax relief for businesses struggling to stay afloat in the post-September 11th economy," said Congressman Langevin, a member of the House Small Business Committee.  "This is an innovative and necessary relief bill to bolster the American economy and jumpstart consumer travel."

     "This is a positive first step towards stabilizing the travel and hospitality industries, which have been rocked since the attack on America on September 11th," said Dale J. Venturini, President & CEO of the Rhode Island Hospitality and Tourism Association. "Generating more than $3 billion dollars in revenue and nearly $200 million in taxes annually for Rhode Island, the travel and hospitality industries are a cornerstone of our economy and vital to the economic health of Rhode Island and the country.  Recognizing that value, Congressman Langevin has long been a champion to our industry and we greatly appreciate his continued support." 

       The travel and tourism industry is one of the nation's largest sources of employment.  Approximately 7.8 million people are directly employed by the industry and another 11.5 million indirectly.  According to the Rhode Island Hospitality and Tourism Association, Rhode Island boasts more than 61,000 jobs in the travel, hospitality and related industries.

     “Not only will we strengthen the travel and tourism industry, but also the American spirit,” added Langevin.  “This legislation would help large and small businesses alike, providing additional revenue to protect jobs and keep our economy strong.”

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