From March of 2022 new applications are suspended until the main planning authority of Majorca has completed a review of tourism across the Balearic Islands with the town halls across the islands.
Some town halls will still issue a certificate granting the right to apply for a ETV in their area as described in PART ONE as the review may take some time this could reserve your right to a tourism licence once the consolation has completed.
It may be worth applying and paying the fee for the certificate to be one of the first ETV licences granted when the suspension is lifted.
When the suspension is lifted, we will update the information here if the there have been changes to the application.
Owners of apartments and villas in Majorca can apply for a tourist license to legally offer their property as a holiday rental providing the property meets certain criteria.
1) Only properties in areas approved by the Council of Tourism are eligible.
2) No properties which are less than 5 years old can apply for a tourist license.
3) No owner can have more than 3 rental properties.
4) Every holiday rental must have both a cedula de habitabilidad and an energy certificate which must be a certain level dependant on the age of the property, both must be in date. Check before any application the certificates expire after 10 years.
There are 3 types of licenses for residential properties.
ETV for villas finca or any detached property.
ETVPL for apartments or town houses, both require the agreement of neighbours or in the case of an apartment building the community of neighbours of the building.
ETV60 for properties which can only be rented for 60 days a year, the owner can make the choice of one of the high season months to include in the 60 days of the licence.
The Tourist license application can be broken down into 3 main parts.
PART ONE Reserving your tourism licence from those currently available to the town hall or municipality where your property is located. When the places are all filled a waiting list will be made.
If the town hall has licences available, they will issue a certificate confirms that your property is located in a `zone ‘that allows holiday rentals. Some areas have been classified as `saturated ‘and some area will not be eligible for a full 365 day license, but a 60 day licence may be available depending on the type of property. The cost of this certificate is approximately 80€ and takes 5/6 days to prepare.
With the certificate from the town hall a application form (which can be downloaded on line) can be completed.
Adding the commercial name of your property, the name it will be advertised with and the 24hr phone number which must be available to clients.
Take this form (and a copy) along with the 3 copies of the bank standing order forms for payments and the original and copies of the ` cedula de habitabilidad ´ and energy certificate is then taken to the tourism offices in Palma. This office is located just off the Paseo del Borne, close to the Paseo Maritimo and the Cathedral. It is important to note that you can only apply for the number of places shown on the `cedula´.
PART TWO Approximately a month after reserving the tourist places, as explained in PART ONE, you will be asked to return to Palma to collect a certificate confirming the reservation of places along with forms to pay the initial 20% of the overall cost of the tourist license via bank transfer. Apartment owners will be expected to pay 875€ per place for a 5 year license. Villa owners will pay 3500€ per place for an indefinite license. As an example, a 2 bedroom apartment with 4 beds/places has a total cost of 3500€, payable over 5 years. An owner of a 4 bedroom villa, with 8 beds/places will be asked to pay 28000€ also payable over 5 years.
PART THREE The final stage is the presentation of the `paperwork, along with proof of payment as above. At this step it will be necessary to confirm the facilities and equipment provided in the property, a tax payment of approx. 300€ to begin the activity as tourist rental. Owners will have to confirm that they have adequate civil responsibility insurance too. Apartment owners will need to provide registered proof that the community agreed by majority to accept holiday rentals in their building. They must also prove they have individual water meters and invoices. After the presentation of the final papers a provisional license number will be allocated, and owners can await an inspection of the property. From the moment of obtaining a provisional license number it will be possible to promote the property and accept reservations.
OBLIGATIONS Owners must then register with the Guardia Civil to provide weekly information of their guests shortly after their arrival and, also with the tax department for the payment of the tourist tax for each person over 16 years of age. Naturally many owners will employ reliable agents to cover these aspects for them. An accountant will need to be employed to be sure that tax returns are completed correctly when declaring earnings and running costs.
All advertising and contracts for holiday rentals must clearly display the commercial name and the license number. This will make it easier for visitors to identify if a property has a license and an app is available for this purpose.
If you would like more information or have questions, please contact us.
