New Years always bring new changes, and for Miniloft, the first big change of 2014 hasn’t been the greatest one we’ve heard. Towards the end of last year on the 14th December 2013, the Berlin Senate proposed and voted in a “City Tax” for overnight stays in Berlin. The tax came into effect as of 1st January 2014, and is applicable to private stays only.
To make it simpler, we thought we’d break down the main information for you:
WHO PAYS CITY TAX?
The City Tax is 5% of the price of all overnight private bookings, when the booking has been made after January 1st 2014.
WHO IS EXEMPT FROM CITY TAX?
Any visitors with bookings made prior to 1st January 2014 are exempt and will not be charged City Tax.
The tax does not apply to professional visitors to the city – in other words, those coming to Berlin on business. Business travelers are exempt, providing they can provide the following as proof:
- A booking made by their company.
- An invoice confirming payment by their company.
- A company letter confirming the visitor is in Berlin on business.
- For self-employed visitors, a written declaration that the visitor is in Berlin on business, and their income tax number.
Guests staying for a number of weeks should note that the tax is only applicable up to the 21st night. After that you stay City Tax-free.
Students who are visiting Berlin for educational purposes, accompanied by a leader responsible for the group and who provide information about the event attended, are exempt from City Tax.
Those who live in Berlin but want or need to stay at a hotel or holiday apartment because of renovations or repairs in their houses, do not need to pay City Tax but must provide a copy of the building contract to prove their stay is not for leisure.
If a guest stays at a hotel or holiday apartment because of medical reasons they are exempt from City Tax only in the case of parents who have a child at the hospital and must provide a proof of the treatment. Other family members must still pay the tax
HOW DO I PAY MY CITY TAX?
As an accommodation provider, Miniloft has to collect City Tax on behalf of Berlin; however, the important thing to note is that Guests are liable to pay. Which means we cannot include the tax in our advertised prices, but this will appear listed in a separate invoice.
We appreciate your patience and understanding on the issue, which out of our control, and if you do have any further questions, you can always contact us and we’ll be happy to help. We’ll also keep you updated on the status of the tax and any other further developments and challenges to the tax in the future.
