Tuesday, May 21, 2024

Madeira bringing in tourist taxes

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“It was accepted that we should have an application of 2 euros per guest and per night, for a maximum of seven nights, exempting children up to 13 years old and also [adults] for health reasons or for issues indicated by Social Security”.

According to Pedro Calado, only the Ponta do Sol City Council did not participate in the meeting, in which “it was almost consensually accepted that equal rules should be created for all municipalities”.

The president of AMRAM explained that charging the fee should only come into effect in the second half of this year, considering that the process has to go through several municipal bodies and also goes through a period of public discussion.

On the other hand, it is necessary to create an adequate IT system that allows conjugation with all tourism units, whether Madeira farms, local accommodation or hotels.

A commission of 2.5% is foreseen for hotel establishments, with the remaining amount transferred to the municipalities.

“Each municipal council will make its application [of the tax funds] depending on what is defined in its regulations, but it was also generally understood that this application should always be based on environmental sustainability, issues of tourist promotion, preservation of spaces green and for tourist use”, explained Pedro Calado.

Tourist tax will be charged to overseas tourists and residents.

On Tuesday, the regional Finance Secretary, Rogério Gouveia, revealed that the Madeiran executive (PSD/CDS-PP) is aiming for revenue of 10 million euros from the collection of the tourist tax.

“Right now, we estimate a revenue of 10 million euros, but it is a process that is under negotiation and in dialogue with the municipalities and that, naturally, throughout 2024, will progress”, stated the government official, in the presentation of the Budget of the Autonomous Region of Madeira for this year.

Currently, only the municipality of Santa Cruz, in the east of Madeira, led by JPP, charges a tourist tax.

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