Introduction
The Travel Industry Council of Ontario (TICO) is an essential regulatory body in Ontario's travel sector. Its primary role involves overseeing travel agents and wholesalers to ensure they adhere to the province's legal standards. This article aims to shed light on the critical aspects of TICO's fee and payment schedules, vital for maintaining compliance and ensuring consumer protection.
TICO's Regulatory Framework
TICO, under the Safety and Consumer Statutes Administration Act, 1996, plays a pivotal role in the travel industry. It is responsible for the registration, renewal, and oversight of travel agents and wholesalers in Ontario. Understanding TICO's fee and payment structures is crucial for businesses aiming to operate within this legal framework.
Registration and Renewal Fees
Registration Application Fees
- Travel Agent or Travel Wholesale - Head Office: $3,000
- Branch Office: $800
These one-time fees are crucial at the new registrant application stage.
Renewal Fees
The renewal fees are based on the previous fiscal year's gross sales in Ontario:
- $2,000,000 or less: $300
- $2,000,000 to $5,000,000: $600
- $5,000,000 to $10,000,000: $900
- $10,000,000 to $50,000,000: $1,200
- Over $50,000,000: $1,800
An additional $300 is required for each branch office, underscoring the importance of these fees for legal compliance and continuous operation.
Learn more about the Compensation Fund Remittance
The Ontario Travel Compensation Fund
Fund Contributions
The Compensation Fund is a consumer protection measure against undelivered travel services due to bankruptcy or insolvency. Contributions are mandatory for all registered travel agents and wholesalers.
Contribution Rates
- Retail Rate: 25 cents per $1,000 of retail sales
- Wholesale Rate: 25 cents per $1,000 of wholesale sales
- Minimum Payment: $25 plus applicable taxes per filing period
These bi-annual contributions, based on gross sales, are crucial for TICO's consumer protection mandate.
Learn more about TICO's financial requirements
Financial Requirements for Registrants
Compliance with the Travel Industry Act, 2002
Registrants must meet certain financial criteria, including:
- Annual financial statement filings
- Maintaining minimum working capital
- Trust accounts management
- Contributions to the Compensation Fund
Adhering to these requirements is vital for legal operation and financial stability.
Further details on financial requirements
Impact of COVID-19 on TICO's Operations
Adjustments During the Pandemic
The COVID-19 pandemic led to significant adjustments in TICO's policies, including:
- Reduced reporting requirements
- Waived renewal fees until March 31, 2022
- Extended Compensation Fund claims deadline to March 31, 2024
These steps were taken to support the industry and ensure consumer protection during the pandemic.
TICO's pandemic response details
Conclusion
TICO's fee and payment schedules are integral to Ontario's travel industry. They ensure legal compliance and consumer protection. It's crucial for travel agents and wholesalers to understand and adhere to these requirements for sustainable and legal operations.
For precise and current information, consult TICO's official website or contact them directly regarding fee schedules and payment procedures.
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