ECONOMY

Airbnb-style rentals on gov’t radar

airbnb-style-rentals-on-gov-t-radar

The government is contemplating the introduction of tax and an operation framework on the leasing of residences advertised on the Internet in a model known as peer-to-peer property rental in which transactions generally pass under the tax radar.

Alternate Minister for Tourism Elena Kountoura referred to the issue in the context of the annual conference of the Association of Hellenic Tourism Enterprises (SETE), noting also that the government will form inspection teams to combat tax evasion by illegally operating accommodation units across the country.

Imposing a tax on the leasing of properties for tourism conducted via international websites such as Airbnb and Wimdu is a discussion topic in other countries, too. In Paris, where Airbnb is enjoying strong growth, a months-long negotiation between the company and the authorities has ended in agreement.

As a result, since the start of this month, Airbnb has been charging its users with a tourism levy of 83 cents per night spent in properties in the French capital advertised for lease on the website. Local authorities expect revenues of 5 million euros per year from the move.