Bucharest weighs tiered tourist tax by hotel type. The city council is currently discussing a significant amendment to the special tourist tax was introduced at the beginning of the month.
According to the proposed amendment, the flat tax of 10 lei (roughly 2 EUR) per night will be abolished, and a graduated price based on the type and nature of the accommodation unit will be introduced.
How Much Will Tourists Pay?
The proposal divides the accommodation industry into four payment categories, according to the level of accommodation:
A. Low category: 5 lei per night (approximately 1 euro) for hostels, motels, pensions, short-term rental apartments (such as Airbnb), campsites, and 1-2 star hotels.
B. Mid-range category: 10 lei per night (approximately 2 euros, the current tax rate) for 3-star hotels.
C. High category: 15 lei per night (approximately 3 euros) for 4-star hotels (an increase of 5 lei per night, compared to the original tax).
D. Peak category: 20 lei per night (approximately 4 euros) for luxury 5-star hotels (double the tax introduced so far).
The amendment also includes a significant clause for families: minors will be completely exempt from paying the special tax aimed at promoting tourism in Romania's capital.
"Maintaining Accessible Tourism"
In a statement aimed at explaining the fresh proposal, the council member who wrote the amendment noted that a uniform tax would not reflect the economic reality in the country. According to the council member, imposing the same tax on a tourist in a hostel and one in a luxury hotel would create an unfair burden on those with limited budgets and small hospitality businesses.
The amendment is based on the model used in most European cities, which differentiates between levels of accommodation to prevent discouragement of discounted trips, or, in other words, creating a direct connection between the tax amount and the tourist's ability to pay.
Expanding Trend
With the introduction of the new tourist tax, Bucharest joins cities such as Paris, Rome, Barcelona, Amsterdam, and London that already charge similar tourist taxes. In most European cities, these taxes range from €1 to €7 per night, with Bucharest placing itself in the low-medium range.
The new tax is not expected to have a significant impact on vacation prices, but it is an addition to consider, especially for long stays or family trips. However, Romania emphasizes that the funds will be directed directly to improving the tourist experience, which could benefit visitors over the medium to long term.