Local tourist taxes in Portugal : a systematic review of municipal regulations

The economic benefits of tourism activity have led Portuguese municipalities to seek new financial resources that allow them to face new public expenses to mitigate the adverse effects of such growth, creating public policies that incorporate those effects. This research aims to analyse existing municipal tourist tax regulations in Portugal, creating a conceptual framework to compare them. A content analysis of municipal regulations on tourist taxes was carried out through a qualitative approach. A conceptual framework was developed with several variables, including taxpayer incidence and age, total and partial exemptions, maximum charges, collection fees, administrative violations, and economic and financial justification. Afterwards, a review of existing regulations was conducted. Despite the economic benefits derived from tourism activity, there has been a growing concern among public authorities about its significant and rapid growth. The negative externalities are a reality that must be considered when creating and implementing public policies. To the authors' knowledge, no framework is available to compare municipal regulations related to tourist taxes in Portugal. This research has practical and theoretical implications for researchers and municipalities that have already implemented or are planning to implement such regulations.