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Municipalities in the Czech Republic can now determine the maximum number of days a year and the duration for which short-term accommodation can be provided on their territory through online platforms such as Booking or Airbnb. They can also set a minimum number of square meters per person.
The government backed amendments to the tourism industry business law in mid-July, which will now be discussed by delegates, and are expected to make this possible. Once the new rules are passed, they will not actually be implemented until 2026.
According to the Ministry of Regional Development, the growing trend of so-called shared accommodation could limit the supply of housing apartments, thereby increasing pressure on market rents. Deputy Minister Lukas Chernohosky noted: “Shared accommodation often does not fulfill its original mission (i.e. sharing parts of the property that the owner does not currently need in the short term), but it is a normal business.”
According to the ministry, mainly tourist destinations, especially the centers of large cities and mountainous areas, have long been dealing with problems related to accommodation platforms.
“Especially in central areas such as Prague 1, the quality of life of residents is seriously impaired. Apartments in the city center are turned into short-term accommodation spaces, which leads to increased noise and disturbance in the premises,” warns Terezie Radoměřská, mayor of Prague 1. According to her, other residents also move away as a result.
“This amendment has the potential to finally provide us with the tools to regulate this situation and protect the stability and affordability of housing for residents. Thanks to these measures, business transparency and fairness can be increased and the negative impact of mass tourism on local communities can be reduced,” Radoměříží believes.
“While hotels and other similar accommodation facilities must comply with a set of rules and are the target of inspections and possible sanctions, the authorities often do not even know about accommodation providers through digital platforms. It happens that these accommodation providers do not fulfil their obligations and enter the so-called grey area,” explains the Mayor of Špindlerův Mlina, Martin Jandura.
According to him, this is, for example, reporting foreigners to foreign police or paying for local accommodation, etc. “If Špindlerův Mlýn would charge fees correctly, we would be like in Dubai,” Jandura believes.
The amendment also plans to introduce the e-Turista electronic system, where accommodation providers must register. Those who fail to register on the portal and provide a registration number will not be able to legally provide accommodation services.
The ministry promises that, starting with this step, the management of municipalities and accommodation providers will be simplified and the collection of accommodation taxes and local fees will be made more efficient. According to the office’s calculations, 40 to 70 percent of stays through online platforms are not reported, which could lead to a loss of nearly 800 million crowns in tax revenues for the state each year. “Municipalities and cities also lose about $55 million a year in accommodation fees,” Chernokhovsky explained.
The amendment should partially enter into force on July 1, 2025, and the eTurista portal should also function normally from then on. It is expected that the system will be developed by the end of this year, followed by a six-month trial run, during which accommodation providers can try it out on a voluntary basis. However, the part concerning the field of short-term rentals and accommodation on online platforms will only come into force from late May 2026.
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