City Lodge makes changes to comm payout

CITY Lodge has made changes
to its agent commission
payment structure, effective
February 1.
Under the new system,
agents will be required to bill
the City Lodge Hotel Group for
their commission. They will
no longer be able to deduct
their commission from the
amounts that are payable to
the City Lodge Hotel Group
on behalf of their clients who
have stayed at the group’s
hotels and used its services
and facilities.
In the middle of each month
travel agents will receive
a commission advice from
the City Lodge Hotel Group.
This will be accompanied
by a request to issue a tax
invoice to the group for the
commission amount, which will
include VAT. Once a tax invoice
has been received, the group
will pay commission amounts
to travel agents, subject to its
normal payment terms and
conditions.
“City Lodge has decided
to do this to ensure that we
comply fully with legislation
relating to the issuing of tax
invoices, which applies to
commission, and to enable us
to better manage and control
the terms and conditions that
apply to payments that are
due to us,” says City Lodge
Hotel Group divisional director
of finance, Alastair Dooley.
The change has also been
brought about to coincide
with the roll-out of a new
property management system
across all the group’s hotels,
he says.