{"id":44747,"date":"2026-11-06T22:20:32","date_gmt":"2026-11-06T19:20:32","guid":{"rendered":"https:\/\/bnbnews.gr\/?p=44747"},"modified":"2026-11-06T22:32:38","modified_gmt":"2026-11-06T19:32:38","slug":"greece-accommodation-levy-1-percent-short-term-rentals","status":"publish","type":"post","link":"https:\/\/bnbnews.gr\/en\/news\/44747\/greece-accommodation-levy-1-percent-short-term-rentals\/","title":{"rendered":"Greece plans 1% municipal accommodation levy: What it means for short-term rentals"},"content":{"rendered":"

Prime Minister Kyriakos Mitsotakis has announced plans to allow municipalities to raise the municipal accommodation levy<\/a> to 1%, a move that would also affect short-term rental businesses. Announced at the annual conference of the Central Union of Municipalities of Greece (KEDE) in Kalamata, the proposal would increase the current maximum rate<\/strong> of 0.75%, with individual municipalities deciding whether to adopt the higher rate.<\/p>\n

For professional short-term rental operators, the announcement signals a potential further increase in charges on rental revenue. Moving from 0.75% to 1% represents a 33.3% increase in the levy<\/strong> itself, while the amount payable would double compared with the basic rate of 0.5%.<\/p>\n

The announcement was made on 5 November as part of a package of financial support measures for local government. The prime minister clarified that the increase would apply only in municipalities choosing to introduce it. The announcement therefore does not mean that a 1% rate automatically applies nationwide. No implementation date was specified in his speech.<\/p>\n

Which short-term rental operators pay the municipal accommodation levy?<\/h2>\n

Since 1 January 2024, the municipal accommodation levy has applied to individuals operating a short-term rental business with three or more properties, as well as to legal entities engaged in the activity. According to Greece\u2019s Independent Authority for Public Revenue (AADE), the obligation covers bookings made both through digital platforms and through other channels.<\/p>\n

Under the existing framework, the levy is calculated on the rental amount before VAT<\/strong>, at a rate of either 0.5% or 0.75%, depending on the relevant municipal council\u2019s decision. The levy itself is also subject to VAT. Individuals letting up to two properties without operating a business are not liable for this particular charge.<\/p>\n

For example, on rental revenue of \u20ac100,000 before VAT, the levy amounts to \u20ac500 at 0.5%, \u20ac750 at 0.75%, and would reach \u20ac1,000 at 1%, excluding the VAT charged on the levy. This would represent an additional \u20ac250 compared with the current maximum rate.<\/p>\n

The municipal accommodation levy is separate from Greece\u2019s Climate Crisis Resilience Fee. This distinction also matters when assessing reactions to the announcement, as figures relating to different accommodation charges have been used in the debate.<\/p>\n

The hotel federation\u2019s response and its criticism of short-term rentals<\/h2>\n

The Hellenic Hoteliers Federation (POX) has called for the planned increase to be withdrawn. Its position is set out in a letter to the prime minister dated 6 November, signed by President Giannis Hatzis and Secretary General Antonis Pagonis.<\/p>\n

The federation argues that there was no meaningful consultation before the announcement and calls for levy revenue to fund projects and services benefiting tourism destinations. Citing its own research, it says that 24 out of a sample of 40 municipalities had already raised the rate to 0.75%.<\/p>\n

However, POX also turns its attention to short-term rentals, calling for effective collection of the levy from the sector before any further increases are considered. In the same letter, it compares Climate Crisis Resilience Fee receipts from hotels and short-term rentals, arguing that hotels bear the greater share of the burden.<\/p>\n

That comparison, however, concerns the Climate Crisis Resilience Fee, rather than the municipal accommodation levy<\/strong> covered by the new announcement. The letter provides no corresponding breakdown of municipal levy receipts by accommodation category, nor does it present evidence establishing the extent of any failure by liable short-term rental businesses to remit the levy.<\/p>\n

The federation\u2019s call for enforcement therefore represents its policy position; it does not, in itself, establish widespread non-compliance across the short-term rental sector. For short-term rental businesses already subject to the levy, the immediate issue is the prospect of an increase in their existing obligation and the terms under which individual municipalities would implement it.<\/p>\n","protected":false},"excerpt":{"rendered":"

Greek municipalities would be able to raise the accommodation levy to 1% under a new government proposal. Here\u2019s which short-term rental operators would be affected and how the hotel federation has responded.<\/p>\n","protected":false},"author":3,"featured_media":44745,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","footnotes":"","_members_access_role":[],"_members_access_error":""},"categories":[506,555],"tags":[535,579,651,664,665,1579,1731,1732],"class_list":["post-44747","post","type-post","status-publish","format-standard","has-post-thumbnail","category-news","category-555","tag-airbnb-en","tag-short-term-hiring","tag-short-term-rentals-en","tag-taxation","tag-visitors-tax","tag-accommodation-levy","tag-property-managers","tag-pox"],"_bunyad_layout_template":null,"_bunyad_layout_spacious":null,"_bunyad_sponsor_name":null,"_bunyad_sponsor_logo":null,"_bunyad_sponsor_url":null,"_bunyad_sub_title":"Municipalities would be able to raise the levy under a proposal announced by Prime Minister Kyriakos Mitsotakis. Which short-term rental businesses would be affected, and what Greece\u2019s hotel federation is calling for.","_yoast_wpseo_metadesc":"Greece plans to let municipalities raise the accommodation levy to 1%. Which short-term rental businesses would be affected and what hoteliers are demanding.","_yoast_wpseo_focuskw":"Greece accommodation levy","_yoast_wpseo_title":"Greece plans 1% accommodation levy: Impact on Airbnb","_bunyad_layout_style":null,"yoast_head":"\nGreece plans 1% accommodation levy: Impact on Airbnb<\/title>\n<meta name=\"description\" content=\"Greece plans to let municipalities raise the accommodation levy to 1%. 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