Valencian Tour Tax Repeal Moves Forward Amid Political Realignment

No time to read?
Get a summary

The ongoing debate among Valencia’s three legislative bodies, the discord between PSPV, Compromís and Unides Podem, and the protracted negotiations that stretched into the early hours to secure a voluntary and municipal tourist tax appear set to conclude this Thursday. The Valencian Courts are expected to vote to end the tax by approving a Consell ordinance repealing the tourist levy. According to reports, the Consell, backed by the PP and Vox, is poised to finalize the repeal, a measure that previously stalled due to a moratorium on its entry into force. Miguel Barrachina, the PP’s ombudsman in Les Corts, framed the decree as the end of the fiscal pressure Botànic contended was harming the economy in the Valencian Community. Joaquín Alés, deputy spokesperson for Vox, signaled his group’s support for the measure, calling the tax an untimely decision amid rising inflation.

seven years

The Thursday vote would effectively bury a levy that took seven years to reach approval and has been a recurring topic in most Botànic budgets. About a year ago, PSPV-PSOE, Compromís and Unides Podem (now without parliamentary representation) endorsed the measure, receiving praise from the left while then-president Ximo Puig did not participate in the initiative. His successor, Carlos Mazón, argued for abolishing the tax, which has yet to take effect. Mazón even highlighted the decision at the World Travel Market in London, where the Valencian Community was presented as a tax-free destination.

The move was presented as a major policy shift by the government’s communications team. The deputy spokesperson for PSPV-PSOE, María José Salvador, criticized the government for a promotion she described as sad, ridiculous and obscene, accusing it of politicizing the business sector. Aitana Mas, from Compromís, challenged the PP’s boast of abolishing something that had not yet come into force and quipped that visitors still wouldn’t be flocking to Paris or Vienna. She noted that many global cities have similar taxes without suffering reputational harm, a stance echoed by other Valencian coalition figures.

Decree Law

On the 10th, Mazón and Tourism Minister Nuria Montes formalized the decree to abolish the tourist tax. As scheduled, the Cortes are to approve the measure before month’s end. The decree was framed as removing obstacles rather than creating them. Mazón underscored ongoing investment talks with parties like Junts and ERC, stressing that policy choices there create contrasts with decisions here. The tourism sector across the Valencian Community expressed broad support for the decree, with representatives from the hotel and hospitality industries present at the Palau de la Generalitat, including figures from Hosbec, Fevitur and Conhostur, who described the development with mixed sentiment and noted relief at the news. (Attribution: regional economic press)

No time to read?
Get a summary
Previous Article

Global Workforce Trends 2023: Insights from Adecco Group on Spain and Beyond

Next Article

Mikhail Zygar and Anton Dolin Recalibrate Careers Amid Foreign Agent Designations