Kassel is about overnight stays: Freeched freedom of travel?

Kassel is about overnight stays: Freeched freedom of travel?

The city of Kassel plans to introduce an overnight stay tax, which is to come into force on April 1, 2025 to finance the tourist infrastructure. Originally, a flat rate of three euros per night was planned, but it was modified. In the future, five percent of the net price of the respective hotel room will be charged as an overnight stay tax. The decision on the specific design of this regulation was postponed to May 5 after considerable criticism of hotel operators.

As part of an open letter, 18 hoteliers called on the top of the city, especially Mayor Sven Schoeller and city treasurer Matthias Nölke, to complain about the lack of communication. The city, on the other hand, referred to dialogues that have already taken place with the Chamber of Commerce and Industry (IHK) and the German Hotel and Restaurant Association (DEHOGA), which were informed about the introduction of the tax. External critics see the tax as not expedient and fear that it could put additional strain on the economic situation of the industry.

criticism and concerns of the hoteliers

The accommodation companies indicate the current economic crisis and the existing structural change. In their appeal to the city administration, they demand to refrain from the introduction of the tax. They argue that in view of the already stressful basic and trade taxes, additional taxes are counterproductive and the tourism industry could weaken. An important argument is that the accommodation tax could be raised on the gross accommodation amount, which could result in double taxation.

Dehoga and the IHK emphasized the need for a constructive dialogue in their open letter. An earlier tourism concept from Kassel from 2016 provided for a cooperative financing model, which was not implemented. The Hessian Tourism Association supports the idea of ​​capturing this concept and evaluating and adapting it on the basis of transparent communication.

legal framework and comparison with other cities

Legally, the introduction of overnight tax by the Federal Constitutional Court is legitimized, which has stated that local overnight taxes are compatible with the Basic Law. The collection of this tax is defined as an expense tax and also affects professionally overnight stays. Many cities in Germany, including Frankfurt, have been living in a similar tax for years and enjoy a high level of acceptance because the use of the means is transparent.

The opposition in the Kassel town hall is split. While "Die Linke" takes into account the support of the tax under certain conditions, the SPD decidedly rejects the plans and demands the withdrawal of the draft statutes. In the current political discussion, supporters and opponents of the overnight stay tax are disagreed with how this measure could affect the nature and quality of life in Kassel. The city of Kassel will decide on May 5, 2025 whether the accommodation tax will be introduced in the intended form.