Perthshire accommodation sector to discover tourist tax obligations

Bill to be introduced in early 2026

Perthshire’s accommodation sector will find out more about their duties in administering a potential tourist tax, by Spring 2026.

Scottish Government yesterday (Tues) announced its intention to bring forward a Bill in early 2026 which would give councils more options on how to levy a charge on visitors, if they decided to do so.

The Bill will open up the possibility of councils applying a fixed rate charge rather than the percentage-based model introduced by the Visitor Levy (Scotland) Act 2024.

Clarifying the role of accommodation providers

However, it will also answer questions for accommodation owners who will administer the tax such as how levies are to be applied to sales through third parties such as booking platforms, which has remained a contentious issue.

It will also address the information that accommodation providers must share with councils as part of their responsibility.

Accommodation providers in our survey opposed a tourist tax because they were concerned at the administrative burdens it would place upon them and how the monies collected would be viewed by HMRC.

Public Finance Minister Ivan McKee said:

“The visitor levy empowers councils by giving them a new way to raise money for investment in tourist services and facilities. Our aim has been to give councils the flexibility to design a levy that works for their areas, while ensuring businesses can easily understand what it means for them.

“Through regular discussions with our partners, it became clear that further flexibility would be welcomed. That is why we have decided to legislate next year, to ensure local visitor levies work effectively for everyone.”

New options

If the new bill is passed, local authorities may choose to introduce a visitor levy that is based on either a percentage rate model or a fixed amount model.

Under the fixed amount model, local authorities will have the discretion to apply the levy on a per person per night or a per night basis.

Councils will also be given the option of setting different fixed amounts such as for different geographical locations, times of year or types of accommodation.

One of the biggest obstacles on the Bill passing will be the Parliamentary timetable.

With Scottish elections next May and, if other Bills run over, the legislation may not go through until after the election when the Parliamentary make-up may be different.