The local authority justified the creation of the tax with the considerable increase in tourist activity and the need to secure new sources of financing, in accordance with the “principle of fair distribution of public burdens”.

According to the municipality, based on data provided by the National Statistics Institute, tourist activity in the municipality of Setúbal reached a total of 372,482 overnight stays in 2022.

“There is thus a significant increase in pressure on public infrastructure and facilities, on public roads and in the urban space in general of the municipality”, it states in the preamble of the regulation.

The executive led by André Martins (PEV, elected by the CDU) opted for a tax that applies exclusively to overnight stays in tourist developments, local accommodation establishments and campsites located in the municipality, up to a maximum of five nights.

The application of the tax does not entail “any additional costs for the municipality other than those arising from the provision of the service of settlement and collection of the tax to the owners of tourist developments or local accommodation establishments”.

These developments and accommodation establishments will receive a collection commission of 2.5% of the revenue from the tourist tax, whose total annual value the local authority estimates at 400 thousand euros.

Up until August, there were at least 26 municipalities in Portugal charging a tax per overnight stay in tourist accommodation, but several municipalities will begin to apply the measure this year and others plan to start in 2025.

Today, in addition to Setúbal, the tourist tax in Caminha also comes into force.