A peek at Kassel's new sleepover levy: Understanding the Overnight Tax
City representatives in Kassel approve levy on overnight accommodations. - Overnight tax given green light by Kassel city council
Get ready for a bit more on your hotel bill when you visit Kassel, as the city council has given the green light to an overnight tax! This tax, aimed at funding tourism and cultural infrastructure, is set to kick in from July 2025.
The city council meeting concluded with the approval of an overnight tax for Kassel. A city representative confirmed the decision to the German Press Agency. Initially, the city had planned to implement a fee of three euros per person per night, but decided instead to provide businesses with more time to prepare by setting the tax at a net rate of 5% of the overnight cost per room for each night stayed.
While the specifics of this tax are yet to be disclosed, neighboring areas such as Lohfelden (a suburb of Kassel) charge a tax of 2.00 € per person per night for private stays, with exceptions for business travel.
Exemptions include accommodation for youth hostels and school trips for children and youth aged 18 and below.
However, this move hasn't gone down well with the industry and economic associations, who argue that the tax not only adds financial pressure on guests but also involves significant administrative work.
Hotels will have to tweak their accounting systems, renegotiate existing contracts, and grapple with additional bureaucratic costs, criticized Oliver Kasties, deputy managing director of the Hotel and Restaurant Association Dehoga Hessen. The local chamber of commerce is also wary, fearing a drop in bookings and negative repercussions for the gastronomy, retail, and taxi industry. cities like Offenbach and Darmstadt have also implemented similar taxes.
In essence, while the overnight tax promises to bolster Kassel's tourism infrastructure, concerns about competitiveness, administrative burden, and potential visitor decline persist among industry stakeholders. More details about the tax are expected to be revealed in the near future.
- The new sleepover levy in Kassel, set to commence in July 2025, is a 5% tax of the overnight cost per room for each night stayed, as determined by the city council's decision.
- Kassel's neighboring areas, such as Lohfelden, currently charge a tax of €2 per person per night for private stays, with exceptions for business travel.
- Faced with the implementation of this overnight tax, the Hotel and Restaurant Association Dehoga Hessen's deputy managing director, Oliver Kasties, highlights concerns about financial pressure on guests, added bureaucratic costs, and potential negative impacts on the gastronomy, retail, and taxi industries.
- Similar concerns have been voiced by the local chamber of commerce, who foresees a drop in bookings due to the overnight tax, and fears potential negative repercussions on Kassel's lifestyle, finance, and business scene associated with travel and tourism.
- Despite apprehensions amongst industry stakeholders about the tax's potential impact on competitiveness and visitors, advocates believe that the tax will significantly bolster Kassel's vocational training, community policy, and tourism infrastructure in the long run.
