Nagy said the package had been put together by the Tourism Consulting Body, a group of industry insiders recently established to advise the government on tourism policy. The goal of the package, he added, was to reduce red tape and boost the competitiveness of the sector.

The package would regulate short-term rentals in the capital, cap service fees, establish rules for guided tours and give the SZEP voucher card a digital upgrade, he said. The carbon tax on airlines is also expected to be phased out, he added.

Nagy said the tourism sector was "performing very well", generating 12pc of GDP and over 10pc of tax revenue.

He said short-term, Airbnb-type rentals would be regulated only in the capital, adding that the government was in agreement with the industry insiders on applying a moratorium on the issue of new homestay permits while raising taxes on the activity.

He said converting rural buildings, such as barns and wineries, into tourism accommodations could boost village tourism.

The package would increase the police presence in Budapest's "party district", raising the number of officers on patrol from 48 to 58 and establishing an independent police station there.

It would ease rules on swimming pools at tourism accommodations to no longer require a lifeguard for pools with a capacity for fewer than 20 people.

Service fees would be capped at 12pc and banks would be required to provide a solution offering customers the option to pay their tip separately, by bankcard.

Admission fees for zoos could be classified as a tax-free extra-wage benefit.

Nagy noted that there were around 20,000 licenced tour guides in Hungary, but just 3,000-4,000 were active and said licencing criteria as well as test materials needed to be updated.

A digital version of the SZEP voucher card will be rolled out in the future, and restaurants will be exempted, in some circumstances, from having to provide parking. Mandatory data provision for attractions will be expanded to include the parliament building, Saint Stephen's Basilica and narrow gauge railways.

The carbon tax on airlines is expected to be phased out from January 1, while Budapest Liszt Ferenc International undergoes developments and the expressway connecting the airport to the city centre is renovated.

The tourism agency would issue a manual on regulatory compliance in the catering sector, and the excise tax on gas released with thermal water would be scrapped, if that gas is not used for commercial purposes.

Nagy said broader adoption of QR payments could benefit tourists arriving from China.
 

Source: 
MTI - The Hungarian News Agency, founded in 1881.

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