The tourist tax: challenges and opportunities for Italian municipalities
- Thursday, October 10, 2024
- 10:00 - 12:00
- Memo
- Cedro Room - West Hall
- Francesco M. Barbini CAST Center for Advanced Studies in Tourism, University of Bologna
- Alessandro Canzoneri IFEL Foundation - ANCI
- Anna Cicchetti CAST & Department of Legal Sciences, University of Bologna
- Ivana Manduchi Municipality of Rimini - Tax Resources Sector
- Emanuela Randon CAST & Department of Economic Sciences, University of Bologna
- Lorenzo Succi Director of UniRimini spa Consortium Company for the University of Bologna
Starting in 2011, the tourist tax has sparked a heated debate within local governments and among tourism stakeholders. Despite critical issues related to its implementation, it has proven to be a strategic fiscal lever for municipalities, as highlighted by research by the Center for Advanced Studies on Tourism at the University of Bologna. In 2024, further reform measures changed its regulatory framework, extending its scope to all Italian municipalities and introducing new criteria for determining the tax.
However, despite scientific evidence and proven benefits from successful experiences, only 22 percent of eligible municipalities adopted the tax in 2024. Analysis of the data shows a prevalence of the use of this tool by larger municipalities, while administrations of smaller municipalities seem to show more distrust. This asymmetry raises questions about the practical applicability of the tax in smaller municipalities, which may perceive it as a source of administrative complexity, potential political unpopularity, or a threat to competitiveness in tourism markets.
What, then, are the factors that lead to distrust in smaller municipalities with less of a tourism vocation? And how can local governments balance fiscal opportunities with critical competitive and enforcement issues?
This workshop aims to answer these questions through an examination of the most recent reforms and available empirical evidence. After an overview of the rationale and regulation of the tourist tax, results of scientific analyses and application cases will be presented that highlight the impact of this instrument on the territories that have adopted it. Participants will have the opportunity to discuss with experts in the field and discuss the main operational challenges, with special attention to the peculiarities of smaller municipalities. The aim is to provide local administrators with useful tools to make an informed assessment of the adoption and management of the tourist tax in their territories.