Discover Why Alentejo Stands Out as Portugal's Only Region Without a Tourist Tax

Tourist Tax Update in Portugal

As of today, the six municipalities on São Miguel Island have begun implementing a tourist tax, bringing the total number of municipalities in Portugal charging for overnight stays to at least 40. It's expected that around ten more municipalities will join this trend this year.

Alentejo's Unique Status

The Alentejo region remains the only area in the country where no municipality has either charged or approved a tourist tax. However, Évora's city council has decided to begin the process of creating regulations for such a tax, which is currently in the consultation phase.

Current Tourist Tax Landscape

According to a count by Lusa agency, as of January, 27 out of 278 municipalities on the mainland charge a tourist tax, with at least six more planning to start this year. In total, 40 municipalities across Portugal are currently applying this fee, with nine more expected to begin in 2025.

In the Madeira region, seven out of eleven municipalities charge a fee of two euros per night for a maximum of seven nights. The municipalities currently charging include Funchal, Santa Cruz, Santana, Ponta do Sol, Machico, Ribeira Brava, and Calheta. Others like Câmara de Lobos, São Vicente, and Porto Santo are expected to start in 2025.

New Fees in São Miguel and Other Regions

In the Azores, only visitors from the six municipalities on São Miguel Island will start paying a fee of two euros per day for overnight stays, with a maximum of three nights. The municipalities include Ponta Delgada, Ribeira Grande, Lagoa, Vila Franca do Campo, Povoação, and Nordeste.

The president of the Azorean Municipalities Association, Alexandre Gaudêncio, stated that all municipalities on São Miguel have approved their regulations and submitted them to municipal assemblies.

In October, the PAN/Açores party announced plans to propose a three-euro regional tourist tax for passengers arriving by air or sea to the archipelago.

Tax Exemptions and Variations

In mainland Portugal, each municipality sets its own tax and application regulations, but there are common criteria, such as exemptions for children (who start paying from age 12 in some cases) and individuals with disabilities of 60% or more. Some municipalities also exempt pilgrims visiting Fátima or Santiago de Compostela from the tax, like Porto and Caminha.

The maximum tax currently charged in Portugal is four euros per night, applicable in Lisbon since September. Lisbon's tax began in January 2016 at one euro per night, increasing to two euros in January 2019 and doubling four months ago.

Recent Developments in Other Municipalities

Almada is holding a public consultation until January 29 for a two-euro tourist tax for accommodation establishments and 1.5 euros for campsites and caravans. Nazaré, known for its giant waves, is preparing to implement a tax with a public consultation on the regulation.

In Vila Nova de Gaia, the City Tax is currently 2.5 euros, and an additional 1.25 euros is charged for stays related to professional or academic activities. Meanwhile, in Porto, the tax has increased from two to three euros as of December 1.

In the Algarve, only seven out of sixteen municipalities currently charge a tourist tax. Regions like Albufeira, Lagoa, Loulé, Portimão, Olhão, and Vila Real de Santo António charge two euros during peak season and one euro in the off-season.

Summary of Current Taxing Municipalities

Currently, municipalities charging a tourist tax include Amarante, Braga, Coimbra, Cascais, and Sintra, among others. Terras de Bouro, which includes the village of Gêres, is preparing regulations for implementation, with Matosinhos and Baião expected to introduce a tax in 2025.