City council decides to levy an accommodation tax
At its meeting today, the City Council decided to introduce an accommodation tax in the City of Chemnitz from 1 January 2024. Hotels, motels, inns, guesthouses, holiday accommodation and similar accommodation facilities as well as campsites are deemed to be accommodation facilities where the tax is levied.
A tax of five per cent of the assessment base, the accommodation costs including VAT, is levied on individual overnight stays.
As part of the 2023/2024 budget planning and the financial planning up to 2027, the introduction of the accommodation tax is expected to generate additional revenue for the city budget. The City of Chemnitz is thus fulfilling its obligation under municipal law to generate revenue for the fulfilment of its tasks. In addition to fees for services, this also includes taxes.
In addition to minors, persons who attend events that require overnight accommodation in Chemnitz for their training or studies are also exempt from payment.
The City of Chemnitz expects to receive around €2.31 million from the tax in 2024 and €3.56 million in 2025 - the year of the European Capital of Culture title. Around 3.8 million euros are expected in each of the following years.
The underlying statutes are initially limited until 31 December 2027.