Until December 31, 2026, a stay at a five-star hotel in Milan will incur a tax of 12 euros per night per person. Starting January 1, 2027, the tax will be just 5. On Wednesday, November 12, the City Council approved the resolution setting the new tourist tax rates: not only for luxury hotels, but also for B&Bs, hostels, and short-term rentals.
What, specifically, will change for those booking a room or hosting guests in their own home? The most significant reduction applies to the higher price brackets and short-term rentals.
The new rates by category
The figures are per person per night, compared to those currently in effect:
- 5-star hotels: 5 euros (currently 12)
- 4-star hotels: 5 euros (currently 10)
- 3-star hotels: 4.8 euros (currently 7)
- 2-star hotels: 3.8 euros (currently 4)
- 1-star hotels: 3 euros, unchanged
- B&Bs and short-term rentals: 4.8 euros (currently 9.5)
- Youth hostels: 2.8 euros (currently 3)
For a three-night stay at a four-star hotel, the tax per person drops from 30 to 15 euros. At a B&B, it drops from 28.5 to 14.4 euros.
B&Bs and short-term rentals see their rates nearly halved, while three-star hotels drop by more than two euros per night. For the lower-priced categories, however, the adjustment is minimal: at most one euro less for two-star hotels, twenty cents for hostels, and nothing for one-star hotels.
How much does this affect the city’s coffers?
The cut affects about 16 million of the approximately 20 million overnight stays that Milan records each year. For the city, this means collecting about 50 million euros less in 2027—a figure that is far from negligible for a tax that visitors have come to expect as part of the room rate.
The current rates remain in effect until December 31. For stays that span the New Year, the resolution does not currently specify how the new rates will be applied.