Greek Hoteliers Say ‘No’ to Proposed New Lodging Tax

Greece’s hoteliers are up in arms over the federal government’s proposal to impose a brand new lodging tax for every night time spent within the nation’s motels.

The reform is included in a brand new bundle of proposals for measures, the Finance Ministry has despatched to the nation’s collectors to be able to cowl a fiscal hole of 5.4 billion euros.

The brand new lodge tax, though not clearly outlined, is claimed to be calculated based mostly on the variety of in a single day stays and what number of “stars” a lodge has. For instance, three-star motels will likely be charged with a particular price of three euros per room, per in a single day keep; four-star motels will likely be charged 4 euros per room, per in a single day keep, and many others.

 

 

The president of the Hellenic Chamber of Inns, Yiorgos Tsakiris, mentioned the proposal was “extremely harmful” and that any additional burden to the competitiveness of the nation’s tourism product  — after the tax will increase — could be disastrous and would basically negate the opportunity of Greek tourism sustaining authorities revenues and offering jobs to Greeks.

“The Hellenic Chamber of Inns has already taken all obligatory actions to the related authorities, warning of the grave penalties and requesting the cancellation of such plans,” he mentioned in an announcement on Wednesday.

On its half, the Hellenic Federation of Hoteliers mentioned that any proposal or intention of imposing additional costs to the nation’s vacationer product, notably by rising the price for international or Greek vacationers, is unrealistic and instantly undermines Greek tourism’s competitiveness, which has already been hit by the doubling of the VAT cost for enterprises.

The federation reminded that the market of personal vacation leases (unregistered non-public flats) has been left “untouched” by the federal government because it continues to function freely and never below a authorized, institutional and monetary framework.

The federation identified that the federal government may gather unpaid taxes from at the very least 12 million overnights spent in such “lodges”.