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Tourist tax on the cards in the Med

Tax
TTG Staff
16 March 2016

Countries currently enjoying buoyant tourism growth are increasingly looking to introduce tourist taxes, which could destabilise the market, an expert has warned.

Tax - reaching for coins (stock)

A number of Mediterranean destinations are set to introduce tariffs this summer. Visitors to Majorca, Menorca, Ibiza and Formentera will pay up to €2 a day, while Malta will charge holidaymakers €0.5 a night in the hope of raising €6 million a year.

“What is… noteworthy is that governments are beginning to say ‘oh look there are more tourists coming in, let’s take advantage of that,’” said Andy Cooper of Owens Cooper Consulting.

“So all the places that are doing well from tourism are saying ‘let’s get some more cash in.’”

Cooper said that plans were “not necessarily a very clever idea” especially in the current economic climate.