The government’s economic staff has detailed new measures for short-term rentals, which include tax increases and new regulations. One of the most important new measures is the increase of the tax called “Climate Resilience Fee” (TAKK) for short-term rental accommodation.
Specifically, from April to October, the TAKK for accommodation will increase from €1.5 to €8, while for villas and detached houses over 80 sqm from €10 to €15. In the months of November to March, the TAKK will increase from EUR 0.50 to EUR 2 per day of use. It is noteworthy that the period of application of the lower charge, traditionally applicable from November to February, is now extended to March.
No more new permits in the centre of Athens from 2025
In addition, the government decided to suspend the granting of new permits for short-term rental accommodation in municipal apartments 1 (Koukaki, Plaka, Kolonaki, Syntagma – Omonia – Monastiraki, Exarchia, Ilisia, Neapolis), 2 (Mets, Neos Kosmos, Agios Artemios, Pagrati) and 3 (Botanikos, Metaxourgio, Gazi, Petralona, Rouf, Theseio) of the municipality of Athens.
The measure will apply from 1 January 2025 for one year with the possibility of extension. The Minister of Tourism also announced the adoption of operational and safety standards for short-term rental accommodation. The move is seen as an effort to address the excessive growth of short-term rentals in urban areas, which has led to rising property prices and difficulties in housing residents.
The reaction of Stama
The managers of short-term rental accommodation, represented by the president of the Association of Short-Term Rental Companies, expressed their dissatisfaction, describing the government’s strategy as tax-collecting.
Nassos Gavalas said that the 433% (!) tax increase in the TAKK just nine months after its initial implementation is unfair and disproportionate for smaller accommodation establishments.
He pointed out that entrepreneurs cannot plan their investments in the long term, as the measures are constantly changing.