June 11 2018

Tax on fees from renting out apartments located in mountain and naval resorts introduced

Source: IBFD Tax Research Platform News

On 19 June 2018, the parliament's Committee on Regional Policy, Urban Development and Local Self-Government adopted a law amending the Local Taxes and Fees Act.

A special tax will be introduced on "non-rented accommodation", including, among other things, accommodation in owner-occupied vacation homes.

Individuals often provide such accommodation to tourists and do not declare the fee charged, pretending that the accommodation was provided without a fee.

Therefore, a surcharge of between 0.5% and 0.7% on the tax due on each property located in mountain and/or naval resorts is introduced.

The exact amount of the tax for each property will be determined by each municipality through an ordinance yet to be introduced.

The tax on the "non-rented accommodation" is expected to enter into force on 1 January 2019.