Short-term rentals should include value-added tax in their final price to consumers

At the end of 2022, the European Commission presented a proposal on VAT in the digital age which will, amongst other things, oblige Short-Term Rental (STR) accommodation platforms to collect and remit VAT to tax authorities. The model envisaged in the proposal represents a major step forward in ensuring a level playing field amongst different accommodation providers.

For this reason, HOTREC strongly supports the proposal and has issued a position paper to showcase many benefits.

There is an ongoing perception that STRs are being offered by individuals whose flats happen to be empty a couple of days per month. The data does not support this. According to Inside Airbnb, in cities, such as Barcelona, Lisbon, Madrid, Prague, Rome and Vienna more than half of all available listings appear to be under the management of professional operators.

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