Kassel introduces controversial overnight tax - what does that mean for tourists?
Kassel introduces controversial overnight tax - what does that mean for tourists?
The city of Kassel decided on May 5, 2025 in a meeting of the city council meeting. The majority of the representatives voted for the controversy surrounded levy, which has been the subject of public discussions for years. From July 1, 2025, guests in Kassel hotels, guest houses as well as commercial and private providers will have to pay five percent of the net accommodation price per room and night. Overall, the city expects revenue of around three million euros annually in this new source of financing, which are to be used to strengthen tourist and cultural infrastructure.
It was originally planned to raise a fixed amount of three euros per capita and overnight stay, but the start date was postponed to July 1st to give the companies more preparation time. The tax does not apply to overnight stays in youth hostels as well as in school trips and group trips of children and adolescents up to 18 years.criticism and concerns
In addition, there are concerned voices regarding falling booking figures and the negative effects on the adjacent industries such as gastronomy, trade and taxi business. DEHOGA has criticized the introduction of the tax as not transparent and demands a targeted strengthening of tourism. Compared to other cities: While a levy was also decided in Offenbach, a tax of two percent on overnight stays has been in place in Darmstadt since January 1, 2023.
political reactions
The political landscape in Kassel regarding overnight stays is divided. The opposition faction "Die Linke" supports the introduction under certain conditions, while the SPD is vehemently against the plans and demands a withdrawal of the draft statutes. However, the city emphasized that an exchange with hoteliers and the industry associations IHK and DEHOGA were organized at the beginning of February, in which change requests were taken into account.
With this decision, Kassel faces the challenge of finding the balance between the financing of necessary tourist infrastructures and the legitimate concerns of the industry representatives. It remains to be seen how the new tax will ultimately affect local economy and tourism.[Borkener Zeitung] reports that the discussion about the tax has been underway for years and that the city is doing a multilateral support. [Hessenschau] emphasizes the challenges associated with the new regulation, while [Rule_4_plain] indicates the need to maintain transparent communication between city and economy.
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