Mayor Hila (centre), who was not at this week's council meeting. Antoni Noguera to his left.

17-12-2015MIquel A. Cañellas

The issue of holiday rentals in Palma has the potential to create considerable conflict between the ruling parties at the town hall.

The announcement by the Més deputy mayor for the model of the city, Antoni Noguera, that he wishes to ban rentals has not been welcomed by PSOE. The reaction by the party at the town hall reflects that of the party as a whole. Tourism councillor Joana Maria Adrover (PSOE) says that the party rejects Noguera's proposal, preferring specific solutions and not prohibition.

Adrover adds that Noguera was speaking in a personal capacity, as his position has not been agreed by the ruling administration. "It is not ethical to blow one's own trumpet in making announcements. To be responsible is to announce measures once the work has been done."

During this week's council meeting, the PSOE spokesperson Angelica Pastor acknowledged that there isn't consensus among the parties. She noted that as the time approaches when there will be a change of mayor, it is important for there to be continuity with what has been done until now. She added that PSOE view tourism as a source of employment and not just revenue.

Adrover explained that holiday rentals, as with everything else, have a negative aspect. But they also have a positive role. They have helped to spread the wealth generated by tourism. "Private owners who rent out their homes are not the same as large companies which accumulate properties and speculate with holiday rentals." She went on to say that the town hall should focus on powers that it has. "We do not have powers to penalise this activity; the government does."

Noguera restated his wish - and that of Més - for banning holiday rentals in apartment buildings. This summer, he noted, they are already banned. Although the new legislation is still to be approved, there will not be any zoning. He stressed the need to be brave when it comes to housing, observing that 50% of the people living in the centre are tourists.

Som Palma, Podemos, is close to the Més position, although its spokesperson Antonia Martín said that if a community were to permit the "collaborative economy", rentals could be authorised. This, she recognised, could nevertheless be difficult. "I believe there should be prohibition."

Mayor José Hila (PSOE), who was absent from the council meeting (it was chaired by Aurora Jhardi of Som Palma), has been clear in saying that no decision has been taken. He has also pointed out that when Noguera becomes mayor, he (Hila) will take over Noguera's responsibility for the model of the city. So when it comes to sorting out zoning for holiday rentals in the city, it will be who will be head of that department. Seeking to play down the differences, he concluded that he believes there will be agreement by all parties.

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Simon Tow / Hace over 3 years

You are welcome.

I was presupposing that the community regulations allow other people than the owners to use the property when empty.

In your case, I would wait and see what the new local government regulations say and then decide what to do next. It wouldn´t be worthwhile having problems with the authorities for virtually no financial gain.

The tax authorities know if someone is using the property as the electricity suppliers pass this information on to them, so if you can´t prove that you yourself have been using it, or not, as the case might be, then they will assume that someone else has.

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Brian / Hace over 3 years

Thanks for these helpful comments. I do already pay that tax mentioned so I am clear in that respect. Obviously if I have to register that will be a problem as I assume some charges will be made to do that. That will possibly make the ownership uneconomical and result in selling the place which is a great shame. I am now over 70 and do not want problems like this .

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Simon Tow / Hace over 3 years

The tax form is Model 210.

Seeing that you are still a EU resident, the final tax will be 24% ( in certain cases 19%) of the 1.1% tax based on the catastro value of the property, eg 24% of 1,1%

Best though to go to reputable estate agent or a problem solving service company who would sort it out for you.

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Simon Tow / Hace over 3 years

If you are not a resident, you will be asked ( obliged ) to pay a tax of 1.1% of the property´s catastro value even if it is not rented for financial gain. You are even obliged to pay this tax even if no one else stays there apart from you.

Of course nobody actually pays you any money. They leave something in a glass jar for you to enjoy a slap up meal, after which you wouldn´t dream of charging them the flats running costs.

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Behrou Ghazizadeh / Hace over 3 years

@ Brian: Always best to seek independent professional advice but tourist rentals are generally those that are advertised and offer tourist services. If it's friends, family and guests and you're not advertising the apartment on sites like AirBnb then it would generally be considered a short-term rental. as I said however, it's best to seek independant legal advice.

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Brian McGrath / Hace over 3 years

I am confused. I have an apartment in Majorca . I spend around 13 weeks a year there normally outside high season. I would spend more time there if I could. I have family and friends who use it when empty in the Summer. They eat and drink in local bars and restaurants. This means for around six weeks I have guests there. Do I have to register my apartment as rental as they pay me for electric and cleaning plus laundry ect.? Where can I find an explanation of this new process that I can understand. I do not advertise my apartment.

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Julian Simms / Hace over 3 years

Depends on what you call "trendy". So is Islington for the liberal champagne socialist lot who think that "multi-culturism" is the best thing since sliced bread.

The original Brixton inhabitants have moved elsewhere ( definitely not to Islington ) as they can't afford the rent prices.

A bit like Palma perhaps ?

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Sara / Hace over 3 years

The island will continue to boom as the wealth in Europe grows. Visitors now come from new areas of Europe.

The next boom in property and return on investment is Magalluf. This resort IS on the cusp of change. I predict by 2022. It has always been an incredible bay. Calvia needs to play its part also, allowing businesses to modernise and removing the prostitutes whom are "theft gangs".

For all those naysayers whom say this is not possible, Brixton in London was in the '80's a "no go zone", it is now the uber trendy area.

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