San Francisco Frontiers - Turmoil in Italy over plan to hike tourist tax

According to a draft decree that emerged this summer, Giorgia Meloni's government is mulling raising the tourist tax -- currently around five euros a night -- to 10 euros for rooms costing 100 euros, 15 for those costing more than 400, and 25 euros for luxury suites costing over 750 euros.

The proposal has sparked anger among tourism groups, which fear it could act as a deterrent.

"We mustn't scare away tourists with taxes that are too high," Marina Lalli, head of professional body Federturismo, told AFP.

"We already have a very high rate of VAT (sales tax), at 22 percent, and if we add new taxes we risk damaging Italy's competitiveness, especially for all-inclusive, organised trips."

Bernarbo Bocca, president of hoteliers association Federalberghi, in May accused the government of treating "hotels as ATMs".

After news of the proposed tax increase made headlines abroad, Tourism Minister Daniela Santanche at the weekend rejected "unfounded alarmism" -- but did not deny the plan.

"At a time of overtourism we are discussing (the tourist tax) so it can be a real help to improve services and make the tourists who pay it more responsible," she wrote on social media in early August.

- 'Profiteering' -

Italy is the fourth most popular tourist destination in the world, welcoming 57.2 million foreign tourists last year who spent $55.9 billion, according to the World Tourism Organization (UNWTO).

In front of the Duomo, Milan's majestic cathedral, tourists jostling among the pigeons to take selfies this week were divided over the possible tax increase.

"Increasing the tax would be profiteering. I would go elsewhere, to other countries that didn't have such a tax," said Fabea Wiegand, a 25-year-old economics student from Switzerland.

But Liam Roth, a 25-year-old computer science student from Zurich, backed the proposal.

"Increasing the tax is a good measure, I understand that the Milanese are bothered by tourists. We are part of the problem," he told AFP.

A government source told AFP that consultations with the industry and local authorities were continuing.

"Nothing has been decided. At this stage, increasing the tax is just a hypothesis," the source said.

- Wave of tourists -

With its rich cultural heritage and stunning coastline, Italy has long been a popular tourist destination -- but the numbers are becoming unsustainable.

Venice, where tourists throng the narrow streets and bridges, introduced in April a five-euro fee for day visitors during peak periods. But it was still packed.

On the Italian Riviera, where at high season human traffic jams form along the trails between the colourful Cinque Terre villages along the stunning northwest coast, local authorities in July introduced a five-euro fee to enter the newly renovated "Path of Love".

Graffiti demanding "Tourists go home!" adorns the bridges of Renaissance jewel Florence, just as it does in Barcelona, a hotbed of anti-tourist discontent.

The concerns are the same for residents there as in Italy -- noise and crowds, useful shops replaced by souvenir stalls and above all, rising rents for locals fuelled by apartments being converted to short-term lets.

Under the proposed Italian plan, the tourist tax -- which brought in 775 million euros in 2023 -- would also be extended to all 7,904 municipalities.

F.Young--SFF