The ranking of cities that have received the highest AirBNB tourist tax has fallen and Montpellier comes first. This tax is collected directly by AirBNB before being paid to the municipality concerned. Our concierge in Montpellier explains in detail what the tourist tax is and what it consists of.
What is the AirBNB tourist tax?
The tourist tax is a tourist tax that is imposed by certain municipalities on reservations made on AirBNB. It is intended to support municipal services and to help cover the costs associated with increased tourism and the use of infrastructure. This tax is calculated on the total price of the reservation and is generally between 1 and 5% of the price of the reservation. It is billed to the traveler and collected by AirBNB, which then sends the funds to the relevant municipalities.
The AirBNB tourist tax is a way for cities and municipalities to generate additional revenue and support local services. It is also a means of ensuring that travelers contribute to the local economy and support municipal initiatives. It's not only travelers who benefit from the AirBNB tourist tax: hosts can benefit from it too. Municipalities can thus invest in infrastructure that can help improve their hospitality experience, such as sports equipment, recreational facilities and community events.
This tourist tax is collected automatically by AirBNB, which pays the amounts to the municipalities twice a year, with data on the rentals and the activities of the hosts. Last year, Montpellier had obtained 570 euros from the platform.
On its website, AirBNB details how the tourist tax works. We learn that the rates are voted by each municipality: classified accommodation is entitled to a rate determined in euros, per night and per person, while unclassified furnished accommodation is entitled to a rate fixed between 1 and 5% of the price of per night per person. AirBNB also collects the departmental tax and the “Grand Paris” tax when they apply.
Created by a law of 1910, the tourist tax is instituted on the initiative of the municipalities carrying out expenses favoring the reception of tourists. Its amount varies according to the type of accommodation (hotel, furnished accommodation, campsite, etc.) and whether the establishment is classified or not. The amount of the tax must be displayed at the accommodation provider and appear on the invoice given to the holidaymaker. The latter pays the amount directly to the accommodation provider or to the organization which provided the reservation service on the Internet.
Montpellier, a stronghold of seasonal rentals
The city of Montpellier is very attractive for tourists. Flagship destination of the south of France thanks to its Mediterranean climate (about 300 days of sunshine a year), the city has a multitude of activities to offer and enjoys a great diversity: museums, restaurants, squares, nightlife, lakes , beaches, hikes… The choices are endless and Montpellier knows how to please everyone. The city is full of historical sites, monuments, museums, parks and attractions for all ages. Place de la Comédie is one of the best known in the city and one of the main landmarks. The historic center is the ideal place to stroll and enjoy the many cafes and restaurants. In addition, the city is very well served by transport, whether by train or the airport, but also no less than four tram lines.
Many real estate agencies offer apartments and houses for rent for the summer, but it is especially AirBNB rentals that are on the rise. Indeed, more than 5000 accommodations are offered, almost as many as the number of rooms in traditional hotels, with 4 hotel rooms for 566 establishments and 89 residence rooms, according to figures from the tourist office.
The town hall of Montpellier has been supervising seasonal rentals since 2022. Indeed, it is now compulsory to register on the Montpellier Méditerranée Métropole website. This act allows hosts to obtain a registration number which is displayed on their listing. This number is also mandatory for old advertisements: without it, the advertisement is purely and simply deactivated.
The objectives of guest registration are multiple: first, the automation of the collection of the tourist tax paid by the tenants, before being transferred to the municipality. Secondly, the town hall checks that an owner's main house is not rented out for more than four months (i.e. 120 days) per year. This supervision is made possible thanks to a unique code obtained at the town hall. In the event of fraud, the owners risk up to 5 euros in fines. On the other hand, freedom remains total for secondary housing.
The city of Sète, which also has a YourHostHelper franchise, has also implemented mandatory registration, which has raised 190 euros in tourist tax. A more than positive assessment for Joliette Coste, the deputy mayor of Sète in charge of tourism: “It is an essential financial windfall, specifies the deputy. The objective is to improve quality: to offer new services and activities so that tourists are happy, and above all, that they come back”.
The Occitanie region is one of the most attractive in France. It is renowned for its magnificent landscapes, its beaches as far as the eye can see and its medieval villages. Many sites are to be discovered such as the Pont du Gard or the castle of Carcassonne. This ultra-touristy region is therefore a stronghold for seasonal rentals and it is not surprising to note the growing success of AirBNB-type holiday accommodation in many cities. Our YourHostHelper franchises have made no mistake about it and are present in many towns in the region, from Argelès-sur-Mer to Palavas, via Canet-en-Roussillon, Gruissan or Frontignan, with a success that is more to prove.
For Angélique Michel, director of the Concierge Montpellier YourHostHelper, the tourist tax is a plus for the tourism sector: “It's a minimal tax on an individual scale, but for a very touristy town, it constitutes more than substantial income, which is then reused to develop tourism. We find ourselves in a virtuous circle which has only positive consequences for the city and its economic development”.
YourHostHelper concierge services monopolize the top 10 in Occitania
The top 10 of the Occitanie region therefore contains several seaside resorts, including several members of the YourHostHelper network: Sète, La Grande-Motte and Narbonne. Here are the 10 cities that raised the most money from AirBNB between November 1, 2021 and October 31, 2022:
- 1) Montpellier – over €1,1m
- 2) Toulouse (Haute-Garonne) – more than 1M€
- 3) Agde – over €550
- 4) Sète – over €420
- 5) Nîmes – over €310
- 6) La Grande-Motte – over €310
- 7) Carcassonne – over €250
- 8) Cauterets (Hautes-Pyrénées) – over €240
- 9) Saint-Lary-Soulan (Hautes-Pyrénées) – over €210
- 10) Narbonne – over €200
The cities of Montpellier and Sète are also part of the top 50 French cities having received the highest amount of tourist tax. The press release issued by AirBNB indicates the three cities that came out on top are Paris (24,7 million euros), Marseille (2,8 million euros) and Nice (2,4 million euros). In total, AirBNB has donated 148 million euros through the tourist tax, according to the press release. An amount up 60% compared to last year and which coincides with the massive return of tourism to France. The platform points out that “these major cities thus benefit from the return of international travelers and major events, which again attract travelers to their territory”.
A great reward for the city of Montpellier, which continues to develop in terms of tourism, with a large number of accommodations available on AirBNB. Thanks to numerous events and a young and dynamic city, Montpellier attracts more and more people each year, and this is set to last given the fallout from the tourist tax. Do not hesitate to go through your YourHostHelper agency in Montpellier to find the best possible vacation rental for your next vacation.
