Although I am not a magician I may say I have about 40 years of solid experience in this kind of marketing topic and on top of this, I hace acquired a practical knowledge during my 15 years' experience in the daily field of the short term holiday renting = Alojamento Local, writes algarvedailynews.com reader, 'Charly'.
For the sake of Portugal and for the health of the tourist business I am pleading to stop the shameless political charade and to give a quick, a good and a logic solution to the problem.
I already have done several simulations about the financial impact of the sector: are the politicians aware that we speak about a €1 billion a year business? I don’t think so…
These are my proposals.
DEFINITION OF ALOJAMENTO LOCAL PREMISES
simply follow the European definition of “small premises” as stated in the 2008 AL-law: a building under 9 meters high, maximum 9 (commercial) rooms and maximum 30 people in the building at the same time.
DEFINITION OF AL BUSINESS
* excluded of this legislation: hotels, campings, youth hostels, resorts
* included in this legislation: * villas and apartments for renting (estimate: 150,000 units)
* rooms for renting (estimate: 50,000 units)
* very important: in order to stop all further confusion about “classifications and names” ban immediately the use of all (old) denominations – in a period of 180 days after date of publishing of this law
* all premises have to use the new denomination : AL / ALOJAMENTO LOCAL
* and a standardised acrylic plate near the entrance door will be mandatory (to be procured in the private sector)
ORGANIGRAM OF THE AL DEPARTMENT
* under the politico/judicial responsibility of the MINISTER OF TOURISM
* the minister is assisted by 1 INSPECTOR GENERAL as the HEAD OF THE AL DIVISION
* there will be 1 AL INSPECTOR per DISTRICT (=20)
* there will be 1 AL DIRECTOR per COUNCIL (=309)
* assisted by 1 ADMINISTRATIVE STAFF (=309)
* perplus 1,000 registerd premises : + 1 STAFF member extra
* MOTIVATING INCENTIVE: per 1,000 registrations effectuated all staff receive a one time €1,000 net BONUS 1 month after the 1,000 registrations are realised.
REGISTRATION OF THE PREMISSES
* basic rule: registration is mandatory but has to be done by persoael effort and initiative
* the AL DIRECTOR has to organise and set up the full inventory of all the concerned premises in his concelho
* all premises that are in business for more than 180 days have to be registrated
* businesses that are not registered after 250 days will be fined with €15,000
* If the fine has not been paid 90 days after emitting date the premiss will be irrevocabily closed down and a require for a new license can only be filed 900 days after the closing date.
* the cost of a first and per registration registration = €600
* it is mandatory to subscribe a direct debiting form
* the yearly contribution per unit is €300
DELIVERY OF THE LICENSE
* the AL DIRECTOR has to make the inspection of the premiss
* he asks for a security and hygiene report from the BOMBEIROS
* and the AL DIRECTOR finally approves the licensing
COLLABORATION WITH PORTUGESE ADMINISTRATION
* the registration is made by the AL STAFF
* all registered premises have to be filed in a NEW DATABASE that will be available to the public
* at the same time of registration copy will be automatically transferred to
- THE CÂMARA
- IRS
- IVA
- SOC SEC
- SEF
- BOMBEIROS
* in each concelho the housing is provided by the Câmara (either in the townhall or in any other premiss owned or administrated by the Câmara
SEF
for each new group or family the manager has to communicate (one) name + address + total number of pax involved
and this in a very simple SEF online website via login (and automatic identification of the premiss)
FOLLOW UP, CHECKINGS AND SCREENINGS
* is of the full responsibility of the AL DIRECTOR
* however this can be organised with the collaboration or the help of all other administrations as PSP, GNR, finanças, bombeiros, Câmara staff, etc.
* the AL DIRECTOR has full POWER OF ATTORNEY eventually for fining, sanctioning, inspecting or closing a premiss.
* FINED PROPERTIES have to be publicaly published in an ad hoc section of the AL website
* CLOSED PROPERTIES have to be publicaly published in an ad hoc section of the AL website
PHILOSOPHY BEHIND THIS PROJECT
There is a universal statement that is definitely stronger than any rock : the value of any law is as solid and directely proportional to the control made over the implementation of this law. Unfortunately in Portugal they never heard about this adagio…
Charly
Comments
The limits that you propose are too high. I would say ten people as a maximum, not 30.
Private villas are not competing with hotels; many people do not want to stay in hotels, and the small villa is bringing in visitors to the country who would not otherwise come. Each visitor brings in at least 30 euros a day to the Portuguese economy.
Secondly in every country in the world TAXES have to be paid over the profit and SOCIAL SECURITY over the workers' and staff fees. Without taxes a country cannot be viable.
As nobody is willing to do all these "mandatory things" unfortunately an administrative (or more) services have to take care of the supervision and the controls. And that is about the same thing for ALL kind of businesses wherever it might be in the world.
But, maybe it's a bit more difficult in Portugal than in other countries and indeed it is definitely not the same thing as "the fisherman's card" as said before....
However today in Portugal ONLY 30% of property owners pay their due taxes, meaning that 70% ruin every day the Portugese state a little bit more. Is that ethical ? Is that morally accepted ? I doubt it ...
if the purpose is to raise tax (what else!!) then there is no need to make anything hard...a simple one off payment would be sufficient.
The 2014 Portuguese 'best seller' Bifes Malpasados made clear the absurdity of transposing Portuguese values to substantially different and more advanced countries - in this instance the UK.
What is needed is looking backwards and analysing why does Portugal still repeatedly get it wrong? 10 years ago Portugal did briefly dally with allowing Portuguese Tourism a greater involvement in local tourism but Local Poder (Power) as it always does (and will do?) stopped it evolving into something useful for the EU and the Portuguese economy and taxman. Any foreigner attempting to be Effectively Occupied back then will have been badgered into avoiding involving the national Tourism authority. Told that the exact opposite to their interests was best - a 'non-tourism project' swiftly passed through Local Municipal Planning. Then crazy sums of money changing hands to get the 'non tourism' project built and open for illegal tourism .... but that is another story.
why not do what they do for fishing licences...you go to a multibanco tap the button to pay it issues a receipt and the govt gets its money which is really all its fussed about
This 300 inspectors 'initiative' - like so many other related to AL, was invention, designed to frighten people into signing up for a life of misery, rather than developing any sort of workable system.
Once you make a "failior analysis" of a case you can list up all the "pain points" that block or simply boycot a project. In the case of the AL legislation as well Câmaras as Turismo de Portugal as ASAE failed in their job. Conclusion: if you set up a new structure (in order to remediate to a catastrophical situation) it is Obvious that you eleminate immediately all this "negative factors".... and that you do it by yourself
for the sake of a better and a healthier situation !