Lagoa becomes fifth Algarve borough to charge a tourist tax
Lagoa Council has announced that it started charging a municipal tourist tax on April 13.
The borough is charging €2 per night during the high season (April to October) and €1 during the rest of the year (November to March) up to a maximum of seven straight nights for all tourists aged 13 or older.
The tax applies to guests staying at hotels, resorts, tourist apartments, rural tourism developments, campsites and local lodging (AL) establishments, including hostels.
Says the council, the tax is being implemented to provide a “new source of funding” in a municipality where tourism plays a “pivotal role in the economy” and where the “growing tourist demand has led to increased pressure on municipal facilities and urban and natural spaces.”
With the revenue from the tax, the council hopes to “complement ongoing efforts to improve public and private municipal assets, enhance public services for tourists, and promote cultural and recreational activities in the town.”
Certain exemptions apply, including guests aged 12 and younger, guests with disabilities exceeding 60%, national and foreign students attending the University of the Algarve for up to 60 days straight at the beginning of each academic year, guests staying in Lagoa for medical treatment (including one other person), and guests who have been offered accommodation by a tourist or AL establishment.
The collection and delivery to the local council of the tax will be managed by tourist establishments through a purpose-built electronic plaftorm. In return, establishments are entitled to a 2.5% commission, the council says, plus VAT at the current legal rate.
Lagoa has become the latest municipality in the Algarve to charge a tourist tax, following Vila Real de Santo António, Faro, Olhão and, most recently, Portimão. Albufeira mayor José Carlos Rolo has already revealed plans to start charging a tourist tax in May.
