Fines for unregistered activity up to 10 thousand euros

Minister of Tourism and Sports Tonči Glavina expressed satisfaction with the results of the current tourist season during his visit to Istria, highlighting that July figures have matched those of last year despite the geopolitical challenges facing Croatia. During meetings with representatives of the tourism sector in Istrian County, he discussed current trends in Croatian tourism, the progress of the season, and expectations for the region. The minister emphasized that the outcomes so far indicate stability and resilience in the face of external pressures. The discussion included the recent law on hospitality services, which mandates that providers of accommodation must obtain registration numbers for each individual unit before advertising on digital platforms. This regulation aims to improve transparency and ensure compliance with tax obligations. Glavina pointed out that unregistered tourist activities can negatively impact destinations by overloading them and failing to contribute to local municipalities through taxes. He noted that registered businesses benefit from tax relief, which in turn supports communities directly. He further explained that the government has significantly increased penalties for unregistered operations, with fines now reaching up to 10,000 euros. These measures are intended to deter illegal activity and encourage adherence to legal standards. To support enforcement, the number of personnel deployed on the ground will be increased, and Glavina expressed confidence that this will lead to meaningful improvements in regulatory compliance. Glavina stressed that the increased fines serve as a strong deterrent against non-compliance, particularly given their substantial value. He added that the combination of stricter penalties and enhanced field presence should help address long-standing issues within the industry. The minister also highlighted the importance of collaboration between local authorities and tourism stakeholders to ensure effective implementation of these reforms. The new regulations reflect broader efforts to modernize and regulate the tourism sector in Croatia, aligning it with international standards while protecting local interests. The changes aim to create a more sustainable and equitable environment for both tourists and residents. By ensuring that all operators operate legally, the government hopes to enhance visitor experiences and promote responsible tourism practices. Looking ahead, officials expect continued growth in tourist arrivals, supported by improved management of the sector and stronger enforcement mechanisms. The focus will remain on balancing economic benefits with environmental and social considerations. As the summer progresses, ongoing monitoring and adjustments will be necessary to maintain momentum and achieve long-term goals in the tourism industry.