The Portuguese Hotel, Restaurant and Similar Association (AHRESP) has announced that it is not in favour of the creation of a tourist tax by municipalities.

However, the association went on to add that should it come into force, it should be applied to investments that are designed to enhance the tourist appeal of the destination.

As part of a statement, the AHRESP said that it is against the proposed tourist tax by several municipalities, taking into account there is “evidence” that reveals that “these bring more costs than benefits to the local economy.”

That said, considering that “this is an increasingly unavoidable reality” in Portugal as well as in other countries, the association is in favour of “a tax management model that includes representatives of economic agents, with decision-making power over the investment of revenues, prioritising the general improvement of the quality of life of residents,” aiming to ensure “responsible, sustainable and regenerative” tourism, The Portugal News reports.

As such, “if a tax exists, it should be applied not only to investments that improve the tourist attractiveness of the destination, but also to projects that benefit the local population, following a trend of regenerative tourism, through investments for example in public lighting, urban cleaning, transport, or public safety, effectively contributing to the well-being of the local community and also of those who visit us,” the association went on to say.

In addition, the AHRESP says that Portugal’s tourism “has enormous potential to be a positive force for the transformation of communities” and also affirms that it is “aware” of the “impact” it has on specific destinations.