There are currently registered 26,000 Local Lodging offerings in Portugal. Lisbon is the most popular city with 4,500 and O Porto with 1,725. The Island of Madeira currently counts over 1,000 registrations. The national total represents approximately 130,000 beds compared to 235,000 beds in hotels.
The Lisbon Municipality has reached an agreement with the principal Local Lodging platform, Airbnb, to levy the one euro Tourist Tax for each night holidaymakers stay in the city with a limit of seven euros. Airbnb will begin to collect the charge on 01 May. The agreement is in line with the company’s practice in other major world capitals.
Property owners who rent out an empty property, can continue to charge rent without VAT, unless the property is prepared for a commercial activity or if they offer additional services to the tenant, such as management, gardening or maintenance.