Report Shows How Tourism Drives Economic Growth in Massachusetts
BOSTON — The Massachusetts Office of Travel and Tourism announced the 2023 economic impact of the Massachusetts travel and tourism industry, which grew 5.3% to $23.6 billion in spending from 52.3 million domestic and international travelers, generating $2.3 billion in taxes for municipalities and the state and supporting 154,330 jobs.
“Massachusetts’ tourism industry is a critical part of our state’s economy, showcasing our rich history and culture for millions of visitors from across the globe,” Gov. Maura Healey said. “We are thrilled to see that tourism in Massachusetts continues to grow and just reached a five-year high — and we look forward to continuing to build on this momentum as we celebrate Massachusetts 250 over the next couple of years.”
In 2023, visitor-generated state and local tax revenue amounted to approximately $825 per household in the state. For every dollar spent by a visitor in the state, 6.7 cents went towards state taxes, and 2.8 cents contributed toward local taxes, highlighting one significant impact of tourism in Massachusetts.
The state also generated substantial revenue from visitor spending through hotel-room occupancy taxes. State hotel occupancy tax collections reached $395 million, while local-option room occupancy tax collections totaled $350 million.
International visitor spending in Massachusetts grew 80% to $2.9 billion in 2023, nearing the pre-pandemic amount of $3.3 billion spent in 2019. Domestic visitor spending remained at 2022 levels with $20.7 billion spent.
