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January 18, 2022

Ministry of Tourism intends to set a single hotel charge

Ministry of Tourism intends to set a hotel charge, a single one countrywide, which will account for 2 per cent of the net value of one night of accommodation, based on the tourism law draft, Mediafax informs.

“The hotel charge is set at a single level countrywide of 2 per cent of the net value of one night of accommodation or the first night within a stay in case of tourist packages. The local councils may evaluate and approve the reduction of the hotel charge from the single national level of 2 per cent to minimum 1 per cent depending on the interest in supporting and promoting the local offer”, according to the law draft which Ministry of Tourism sent to the associations in the field, which are invited to bring comments to this draft. Currently, based on article 279 of law no. 571/2003 from Fiscal Code, the hotel charge is calculated by applying the established quota to the accommodation prices charged by the accommodation units.

The charge level is currently set by the local council and it ranges from 0.5 per cent to 5 per cent. In case of accommodation units in a tourist area, the level of the charge may vary depending on the rating of the hotel.

The hotel charge is due for the whole duration of the stay, except for the case of the accommodation units located in a tourist resort, when the charge is applied only for one night, regardless the real stay time. According to the law draft, the proceeds earned by the local councils from the hotel charge are exclusively used for the development and promotion of tourism at local level and for financing the tourist infrastructure project rehabilitation, least the transport infrastructure, which is assigned to Ministry of Transports.

In case of Bucharest municipal, the hotel charge shall be collected by sector city halls, which will retain only 30 per cent of the total amounts collected, the balance being transferred to the special account opened by Bucharest General City Hall. The amounts collected by Bucharest City Hall will be used for the development of Bucharest tourist offer and for the promotion of the Capital as a tourist destination and as a location for events.

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