Rental sites to collect tax

HOLIDAY rental websites, including Airbnb, will now have to collect the taxe de séjour from people booking via them.

A new set of maximum levels for this holiday residence tax are to be voted on this week and along with them the government plans to pass new rules requiring websites to collect it.

At present anyone renting out accommodation to people for short term stays is supposed to collect the tax from them where it is in place (it can be voted in by mairies in tourist areas). However the government says most people using more informal systems, like Airbnb, are not doing it.

The site allows members of the public to rent out accommodation to each other.

The new method is meant to ensure the tax is levied and Airbnb has accepted it, saying it will simplify the collection of the tax which people are in any case supposed to be paying already.

Hotel industry professionals also welcomed the move, though they were not pleased about the rise in the tax.

However increases are mostly being aimed at more costly hotels and are not as high as was being proposed this summer, when a maximum of €3 was discussed.

At present the tax varies from 20 centimes to €1.50 depending on the level of luxury; it will rise to be up to €4 for the most prestigious hotels, known as palaces, €3 for five star ones, €2.25 for four star and €1.50 for three star.

Unclassified accommodation, including Airbnb, will however have its ceiling raised from 40 centimes to 75.

It is also being proposed that people under 18 may be exonerated from paying it.

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Photo:Gary Bembridge