Legal obligations of private renters in Croatia

Are you completely new to the world of tourism and need clear guidance to get started? Keep reading and get familiar with all the current obligations of a rental property owner!

What do non-financial obligations of landlords include?

1. Categorization Decision

We’ve previously written about the Decision on Approval for Providing Hospitality Services in a Household, better known as the “Categorization Decision,” which is a prerequisite for tourist rental.

If you don’t yet have a Categorization Decision for your property and need one, find all the details on how to obtain it HERE.

Anyone already involved in renting who obtained their Categorization Decision before September 1, 2007, must submit a request for re-categorization of their property in order to align service quality with the Rulebook on Classification and Categorization, adhering to the following deadlines:

1. April 7, 2023 – for Decisions issued up to December 31, 2000
2. April 7, 2024 – for Decisions issued between January 1, 2001 and December 31, 2004
3. April 7, 2025 – for Decisions issued between January 1, 2005 and September 1, 2007

*Decisions issued after September 1, 2007 do not require re-categorization.

Private landlords who fail to submit a request for re-categorization within the given deadlines risk losing their star rating. However, in such cases, a request for a new categorization can be submitted.

2. Accommodation Signage

After receiving a valid Decision, the type of accommodation and category must be properly displayed.

This means a standardized plaque must be placed at the main entrance of the property.

Where can the plaque be ordered?

The standardized plaque can only be ordered from authorized manufacturers and its appearance is strictly defined. Only certain manufacturers are approved by the Ministry of Tourism and Sports, and a list of them can be found HERE.

Once you’ve chosen a manufacturer, you need to provide the following:

• A copy of the Categorization Decision,
• A copy of the payment slip,
• The exact delivery address.

3. Guest Registration

All landlords are required to register their guests upon arrival in the eVisitor system.

eVisitor is the information system for registering and deregistering tourists in the Republic of Croatia. It is used to collect and process data on accommodation providers and their properties. Its importance also lies in calculating and controlling the payment of the tourist tax and processing data for real-time statistical reports.

How to access the system?

To use eVisitor, you must collect login credentials, known as the TAN list, from the office of the local tourist board. The credentials are obtained by the property owner upon presenting their ID card.

For easier use of the system, check out our GUIDE.

4. Issuing Receipts to Guests

“No receipt – no account!” Issuing receipts is a legal obligation for every private landlord. To learn how to do it properly, step by step, read HERE.

5. Turnover Record

The turnover record is a form that tracks all receipts issued for bookings made in the tourist accommodation. It is maintained chronologically by invoice date, separately for each calendar year. We’ve compiled all tips for successfully filling out the turnover record HERE.

What are private landlords required to pay?

1. Tourist Membership Fee

The tourist membership fee is one of the revenue sources for the tourist board and is paid as a flat fee, based solely on the number of beds in the property, according to the prescribed amount, per calendar year.

The maximum number of registered beds during the year is taken into account and is calculated for all units located in the area of a single tourist board under one landlord.

How to calculate the tourist membership fee?

The tourist membership fee is paid in the amount of EUR 5.97 for basic beds and EUR 2.99 for extra beds in tourist accommodation. The fee can be paid in a single payment by July 31 of the current year or in three equal installments:

1. July 31
2. August 31
3. September 30

Payment information is available in the eVisitor system, but landlords will not receive any notification or payment slip for this obligation.

The method of payment and number of beds are indicated in the TZ-2 form, which must be submitted by January 15 of the following year to the regional Tax Administration office based on place of residence. Learn all about the TZ-2 form HERE.

2. Tourist Tax

The amount of the annual flat-rate tourist tax per bed is decided by the county assembly in consultation with local tourist boards. It includes both basic and extra beds, based on the valid Categorization Decision.

Depending on the area, the minimum tourist tax is EUR 46.45 and the maximum is EUR 132.75.

How to calculate the tourist tax?

Multiply the total number of beds (basic and extra) by the tourist tax amount for the respective city or municipality.

The tourist tax is paid in three equal installments:

1. Due by July 31
2. Due by August 31
3. Due by September 30

Tourist tax payment slips are available in the eVisitor system under the menu “Finance - Charges - Payment Slips.”

3. Flat-Rate Income Tax

The flat-rate income tax is calculated solely based on the number of permanent (basic) beds in the household. Extra beds are not included in this calculation.

Also, this obligation is unaffected by occupancy or revenue.

The annual flat-rate income tax is calculated as the product of the number of basic beds and the flat tax amount per bed. This is then increased by the surtax rate of the local government unit where the accommodation is located, regardless of the taxpayer’s residence. The flat-rate tax amount cannot be less than EUR 19.91 or more than EUR 199.08. If the local council does not set a specific rate, the default is EUR 99.54.

Flat-rate income tax may differ even within the same city. For example, the tax per bed in downtown Split (based on zones) is EUR 199.00, while in other parts of the city it’s EUR 66.00.

Find the official decision on flat-rate income tax HERE.

Income Tax Payment

At the beginning of each year, the Tax Administration sends landlords a decision with the total amount of income tax due, which is to be paid quarterly by the following deadlines:

1. by March 31
2. by June 30
3. by September 30
4. by December 31

4. VAT on Services from Foreign Taxpayers

Paying value-added tax (VAT) on commissions from foreign agencies is another important financial obligation for private landlords.

For more on WHY and HOW to cover this cost, we wrote about it HERE.

Still overwhelmed by all these obligations? Reach out to us and form a partnership with tourism professionals.