It will do so through the information on the payment of the Sustainable Tourism Tax (ITS) or mandatory eco-tax for tourist rentals. The goal: to put an end to fraud and illegal supply. This was announced by the Government this morning after meeting with the president of the Consell de Mallorca

Before the end of the year, the ATIB, the Tax Agency of the Balearic Islands, plans to launch a campaign to control illegal tourist rentals. It will monitor whether the rentals managed by intermediary companies are registered in the census of the Sustainable Tourism Tax (ITS), the popularly known as eco-tax. These data are being analyzed for a few weeks after the State Agency of Tax Administration (AEAT) provided them.

The eco-tax, key to prevent fraud in tourist rentals

Antoni Costa y Llorenç Galmés

From left to right, the vice-president of the Govern, Antoni Costa, met this morning with the president of the Consell de Mallorca, Llorenç Galmés. Photo: Govern.

It was the Court of Justice of the European Union (CJEU) who ruled in a judgment of April 27, 2022 that such companies are required to provide tax information to the Treasury. The objective is to control the rentals and the collection of the corresponding taxes that affect tourist accommodations.

Govern has made public this commitment after the meeting of the vice-president, Antoni Costa, with the president of the Consell de Mallorca, Llorenç Galmés, which took place this morning.

The vice president and the insular executive have underlined “the harmony and the necessary collaboration” between the two institutions to achieve the objectives set, especially “to take advantage of the resources of European funds”, with special emphasis on projects that have to do with the water cycle, they explained.

Costa has also pledged to accompany the island councils “side by side” in the demand to the central government to renegotiate the road agreements.