Does this tax work actually work? Surely the amount of people who actually pay the tax is near 0 and they'd get far more tax revenue from a lower tax rate right? I'd actually bet that this tax in particular not only doesn't raise money, but is a net-negative tax-wise as you're forcing people to spend their incomes on flights/hotels out of the country they otherwise wouldn't and they probably buy other things on their trip too.

From living in Chicago these forms of taxes seem so counter-productive. The pattern seems to be that a budget needs to be balanced, so they come up with a new consumption tax that conveniently assumes that the level of consumption stays the same with the new tax in place, but it never ever does.

It's so frustrating because once a tax gets extreme enough that almost no one pays it, lowering/removing it would benefit everyone including the government. It's one of those rare things that can be fixed instantly at no effort/cost with only positive results, yet it won't get done.