Montenegro, Half of the income from tourism is not taxed

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Research by the Citizens’ Association Alternativa showed that at least half of the income from tourism is untaxed, as well as that state and municipal budgets lose EUR 300 to 400 million from illegal private accommodation alone, coordinator Vesko Pejak announced.
– While the top of the state is trying to find a loan, the money goes over the border unreported. If it were used to improve the infrastructure and new offers on the coast, we would have a larger number of tourists every year. This way we have a smaller number of tourists, because our offer is monotonous and boring – said Pejak Pobjedi.
He added that most accommodation providers believe that plasma television and cable TV are the pinnacle of the tourist atmosphere.
– This is the necessary minimum in countries like Turkey or Croatia. That is why it is important for the state to regulate the standards for private accommodation, to tax everything and create some kind of map where tourists could see what we have in non-hotel accommodation. Thus, every year, they would transfer one billion revenues from tourism – Pejak believes.
He also reminded that until then, the record of private accommodation and suppression of the gray economy remain a challenge for the authorities.
The relevant ministry believes that the new tourism development strategy will be able to deal with this long-standing problem. According to the tourism development strategy until 2025, it was estimated, as they said, that the capacity of private accommodation is 120,000 to 150,000 accommodation units. On the other hand, Pobjeda was unofficially told that by the end of last year there were only six thousand registered accommodation providers in the register.
As there are currently no official data on the number of those operating in the gray zone, the relevant ministry is considering the introduction of an information system modeled after eVisitor in Croatia.
The Ministry has prepared a Draft Law on Tourism and Hospitality, which should further regulate that area, especially in the area of ​​issuing permits for work, advertising and control.
– The intention is to precisely define who and under what conditions can provide these services, to define their content, with a clear division of responsibilities between authorities that issue permits for the performance of tourist and hospitality activities, and the division of responsibilities of inspections at the state and local level – they said. are from the Ministry of Economic Development and Tourism.
They added that the proposed solutions in the part of inspection control will lead to a drastic suppression of the gray economy.
The government department announced that they have intensive cooperation with the Association of Private Accommodation Providers.
– The focus of the cooperation will be on the creation of a system that will enable issuers to apply easily, as well as promotion, and service users to find all the necessary information and book accommodation in one place – said the Ministry.
Branka Džoganović, president of the Association of Private Accommodation Providers, said that the problems of private accommodation owners are primarily a lack of dialogue and goodwill to solve problems at the local level.
– We ask that the issuing decisions be permanent, that we can register through the online application, we are looking for regular and high-quality education, organized sales of capacity, we are looking for unhindered conditions for performing the activity for which we are registering – infrastructure, cleanliness, parking, beaches – said Džoganović.
She claims that accommodation providers are the biggest resource that must be invested in in order to get a multiple return, and current practice shows that plans are only being made on how to charge something more.
She said that there is a significant gray area in private accommodation, which the system itself has created.
– We have given our recommendations and solutions for a drastic change for the better, and we hope that the awareness has matured that these are ready-made capacities that await organized, household management – said Džoganović, local media writes.