Norway to Allow Cities to Impose Tax on Tourists

Norwegian authorities have announced a government initiative granting cities the right to implement “visitor contributions,” commonly known as tourist taxes, to address the growing influx of tourists. According to Schengen. News, the proposed measure aims to fund tourism-related public infrastructure and services that see increased use due to high visitor numbers. However, the bill is still under consultation, and no final decision has been made.

Norwegian Minister for Business Cecilie Myrseth noted that several municipalities experiencing significant tourist activity have long advocated for such a tax. She emphasized that the measure would benefit both visitors and local communities, especially during peak seasons, by easing pressure on public resources.

“Visitor contributions can help us avoid conflicts between tourists and residents. It should be a reasonable cost for individual tourists while strengthening municipalities’ ability to welcome visitors. Even if the individual contribution is small, the collective impact can be substantial,” Myrseth stated.

Voluntary Implementation and Broad Scope

If approved, the measure will be voluntary, allowing each municipality to decide whether to adopt it. The Ministry of Industry explained that funds collected through this initiative would exclusively finance public goods, such as restrooms, walking paths, and information kiosks. The contribution will apply to all forms of accommodation, including hotels and short-term rental platforms like Airbnb, to maintain a level playing field among service providers.

Myrseth stressed the importance of including all accommodation types to avoid distorting competition. “A visitor contribution should encompass all forms of accommodation to ensure fairness across the sector,” she remarked.

Once enacted, municipalities choosing to implement the measure will levy the tax on accommodation providers or payment intermediaries. While visitors will not pay the tax directly, it is expected that accommodation providers will pass the cost onto their guests, as is typical with such taxes.