Will there be a higher tourist tax in Prague? The management of the metropolis wants to increase it from 21 to 50 crowns per day Company News Pražská Drbna
The management of Prague wants to increase the tourist fee for accommodation from the current 21 to 50 crowns per day. The reason is the increase in the city’s income, which is lower than the expenses associated with tourism. The city therefore approved a memorandum with its company Prague City Tourims (PCT) and the Association of Hotels and Restaurants of the Czech Republic, according to which a proposal to introduce a new price will be made by March 2022. This follows from the material approved by the Prague councilors today. The current amount of the fee applies from 1 January 2020. Due to the covid-19 pandemic, the municipality forgave the fee last year. Tourism is one of the most affected sectors.
“Expenditures of the capital city of Prague in the area of tourism have long significantly exceeded revenues in this area. The PCT is working with the capital to find ways to alleviate this existing imbalance, “The document says. The city subsidizes tourists with public transport, for example, because tickets do not cover costs.
The increase in the fee is allowed by law
Some Czech cities such as Karlovy Vary, Český Krumlov, Františkovy Lázně or Lipno nad Vltavou have already decided to increase the fee to 50 crowns. Above the level of 21 crowns, there are also fees for Ústí nad Labem, Lednice, Špindlerův Mlýn and Luhačovice.
An increase in the rate would bring additional income from tourism to the city coffers, which, according to the document, could be used to support and cultivate tourism. The law allows Prague to increase the fee to 50 crowns.
Compared to other European cities, the fee in Prague is at a significantly lower level. The mentioned 21 crowns represents about 0.81 euros. According to the document, for example, it is 1.1 euros in Barcelona, 2.11 euros in Vienna and 3.2 euros in Budapest. Tourists pay more than six euros in Rome, and even 19.04 euros in Copenhagen.
In 2019, roughly 344 million crowns went to the city treasury on accommodation fees. Last year, her city forgave her because of the coronavirus pandemic.