Taxation

Muro reduces holiday rentals rubbish tax

Majorca Daily Bulletin reporterMuro14/11/2018 15:13

Muro town hall is to reduce the rubbish tax as it applies to holiday rental properties. Two years ago, the town hall revised the tax and grouped holiday rentals in with hotels, meaning that both were subject to payments based on 67 euros per place. A consequence of this was that in certain cases the tax went up massively. For one property with twelve places the tax increased from the standard 97 euros to 804 euros.

The federation of holiday rental stays, FETV, protested against this rise and hinted that there might be legal action. The town hall will now bring down the tax but only initially by seven euros. In 2019, a new rate of 60 euros per place will apply to hotels and holiday rentals. Deputy mayor Miquel Porquer says that the tax will go down further in subsequent years.

The FETV is said to be satisfied with the reduction.