Andrew EdeMajorca08/10/2020 10:38
TW
0

In 2017, Muro town hall introduced a rubbish tax rate specific to holiday rental accommodation (licensed). The rate, per accommodation place, was to be the same as the rate for hotels - 67 euros. As an example of what this would mean for the annual bill, the rate for a property with six places would increase from 97 euros for a regular home to 402 euros.

Calvia is now following the lead set by Muro in establishing a rate for holiday rentals, a rate for a tourist establishment and not an ordinary home. Per place this means 88.84 euros. The upper rate for a home in Calvia is 233.86 euros. A rental with four places will therefore pay more - 355.36 euros - there being a rider, or so it would seem, that this depends on whether the property is registered for more than 60 days activity (for "saturated" zones, this is the limit).

It is said that tourists generate more waste than residents. To me, this is a moot point. With holiday rentals, for example, the occupants will tend to do a good deal of eating out. Restaurants pay commercial rates for just this eventuality. But the volume of waste generated isn't the issue, or doesn't appear to be. A holiday rental is a business activity; it is therefore subject to a business rate.

Whether just or unjust, a higher rate of tax right now is contrary. The amounts aren't, it has to be said, that great, but they will probably be passed on, thus potentially affecting competitiveness.