The Lagoa Municipal Tourist Tax, which requires tourists to pay fees for nightly stays at all accommodation facilities, will also apply to the Algarve, which is Portugal’s leading tourist destination.
In a press release, the municipality announced the new measure, pointing out that the generated revenue will be allocated to improve the tourism infrastructure at a local level, SchengenVisaInfo reports.
This tax represents a new source of financing that, in a complementary logic, will allow improvements to be made to municipal public and private assets, the provision of public information and support services for tourists and cultural and recreational services in the city.
Tourist taxation has entered into force as of April 13, 2024, and while tourists are required to pay it, there are some exceptions.
New Tourist Tax to Cost More During High Season
The tourist tax will cost €1 between November and March, which is described as low-season. During the high season, which represents the months between April and October, tourists will pay €2 per overnight stay.
Furthermore, those staying in the following facilities, are all subject to the tax:
- Hotel establishments (hotels, apartment hotels, inns)
- Tourist villages
- Tourist apartments
- Tourist complexes (resorts)
- Residential tourism enterprises
- Rural tourism enterprises
- Parks camping and caravanning
- Local accommodation (house, apartment, accommodation establishments, as well as hostels)
The measure applies to all those spending seven consecutive nights in the municipality and the children under the age of 13, are not obliged to pay the fee.
In addition to minors, other categories that are exempted from paying the tax include disabled guests who have a disability level of 60 per cent or more
In addition, local and foreign students at the University of Algarve using tourist resorts and local accommodation establishments, are not required to pay the fee, but as long as they spend their vacations at the beginning of the academic year and spend no more than 60 consecutive days in these places.
Their stay has to be related to medical treatment, accompanying someone, and those guests whose stay is the subject of a proven offer by a tourist enterprise or local accommodation establishment.
Funds to Be Allocated for the Municipality’s Infrastructure
The revenue generated is allocated to the municipality through a system of collecting the fee, delivered by the tourist enterprises. Under municipal regulations, the enterprises can start from €500 to €10,000 for natural persons and between €1,000 and €20,000 for legal entities.
The revenue generated from the tourist tax will be allocated for investments related to tourism, including environmental sustainability, culture preservation and maintaining popular spots.
