Financial Dues for Private Renters in the Calendar Year
A renter of private accommodation is a physical entity who offers hospitality services within a household property. Accommodation can consist of a bedroom, apartment or holiday home, which must be owned by the renter, and must not exceed ten bedrooms with a maximum of twenty beds, although spare camp beds are not included in this total. Accommodation may also be organized on a campsite owned by the renter, up to a maximum of ten residential units for thirty guests at a time at the most, not counting children under the age of twelve. Accommodation services can also include breakfast, half-board or full-board for guests staying in a single room, apartment or holiday home.
What do private renters have to pay?
- The tourist levy
- The flat-rate tax on rental income
- The tourism membership fee
- Value-Added Tax (PDV) on the fees charged by foreign agencies (if their services are used)
- The flat-rate tourist levy
This is payable according to the Tourist Levy Law passed in the summer of 2019. In this law, the term ‘levy per stay’ was replaced by ‘tourist levy’; the biggest changes were imposing the fee on camp beds in apartments and holiday homes, and abolishing the tourism zones in resorts.
Every private renter is responsible for checking the tourist levy through the eVisitor system. The website’s financial section shows the renter the exact financial situation regarding debts and obligations relating to the levy. - In 2020 there was an update regarding camp beds, making their use subject to the charge if they are listed in the Decision document for the categorization of the property. It is up to the renter to check whether their camp bed(s) is (are) included in the categorization documentation. This affects the amount of levy payable, the basis for which is set by the County Council of each region. If camp beds are included in the appended Explanation at the end of the Decision document (Obrazloženje rješenja), the renter does not have to pay the tourist levy for them.
- If camp beds are included in the operative part of the Categorization Decision document (Izreka rješenja), which is to be found at the beginning, then the renter has to pay for them.
The formula for calculating the tourist levy no longer takes into account tourism zones, as these no longer exist. As stated, the County Council decides on the level of the fee and the number of beds and camp beds in individual accommodation units.
The tourist levy in the Jelsa Municipality is calculated as follows:
Total number of beds x 55€ (the amount of the tourist levy) = the total flat rate of stay for one year.
- The flat-rate tourist levy
The tourist levy is payable to the account of the local Tourist Board, which can issue a payment slip for it. Payment slips can also be obtained from the eVisitor website. The levy is payable in three equal instalments, by July 31st, August 31st and September 30th of the current year.
- The flat-rate tax for private renters
The amount on which the tax is calculated varies from municipality to municipality and town to town, but the formula for the calculation is the same everywhere. In the Jelsa Municipality it is as follows:
(number of fixed beds x 55€) + 10% surtax = the flat rate tax
The level of the tax is based on the fixed beds only, camp beds are not taken into account. The tax is not affected by the number of overnight stays, nor by the number of days that the renter is offering hospitality.
The flat rate tax is payable into the account of the town or municipality in which the rental premises are situated. It is paid quarterly on the basis of the Decision issued by the Tax Office. To get this Decision one has to have a further Decision confirming registration of the business, and one has to be entered into the Taxpayers’ Register (Registar poreznih obveznika – RPO).
The last payment dates for the flat rate tax and surtax on private rental income are as follows:
• 1st quarter March 31,
• 2nd quarter June 30th,
• 3rd quarter September 30th,
• final quarter December 31st.
Up to now, and including 2023, the flat rate has been payable in the place where the renter lives, even when the rental property is in another locality. As from 2024, this is set to change, so that the tax is payable to the town or municipality where the income is received.
- The Tourism Membership Fee
Previously, the tourism membership fee was calculated according to the coefficient of its locality. Now it depends on the number of main and camp beds.
Renters have to pay a membership fee to the local Tourist Board. Iznajmljivači su obvezni plaćati članarinu turističkoj zajednici. The flat rate is calculated as the total number of beds in the property in the preceding year times the amount set for each bed, according to the Decision passed by the local authority.
Annual flat rate for the Tourism Membership Fee:
FOR EACH FIXED BED – 5,97€
EACH CAMP BED – 2,99€
The annual fee can be paid as a one-off by July 31st in the current year, or in three equal instalments (also in the current year) with the due dates:
first payment: July 31st
second payment: August 31st
third payment: September 30th
Although the Tourism Membership Fee is no longer calculated according to the previous year’s income, the renter is still obliged to reveal the takings using the form TZ2 on the basis of the Record Book, which is required as evidence for the Tax Office. Renters should present this special form TZ-2 to the Tax Office in their area of residence. The details of the business transactions for the previous year are required for information purposes.
- Value-added tax (PDV) on foreign agency fees
For those who use the services of foreign agencies or representatives, of firms located in other EU countries, the Value Added Tax for those services has to be calculated and paid, by the 20th of the month for services rendered in the previous month. For instance, if one uses Booking.com or Airbnb, the tax is calculated and payable at the normal current Croatian rate of 25% on that portion of the agency fees which is retained by the agency.