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TAX & BUSINESS
Simplification of Price Labelling for Accommodation Businesses
The National Council has adopted simplified rules for price labelling for accommodation businesses. The changes reduce bureaucratic requirements for hotel operators and introduce a stricter, multi‑tiered sanction system for breaches.
The amendment to the Price Labelling Act aims to reduce the bureaucratic burden for the tourism sector and to adapt legal requirements to the increasingly digital marketing of accommodation. While price information was previously obtained directly on site, hotel bookings are now predominantly made via websites or booking platforms, making the display of standard room‑price categories in the entrance area no longer contemporary.
Until now there was an obligation to display standard room‑price categories in the entrance area, allowing guests an immediate price comparison. This obligation was removed under the Budget Measures Act 2026. Price information is now mainly accessed digitally. In addition, room rates are now dynamic and vary according to season, occupancy or booking time. Consequently, the presentation of standard room prices no longer reflected actual market conditions.
Another point of the amendment is the clarification regarding the indication of tourism taxes. For legal certainty, it is clarified for these businesses that tourism taxes (local taxes) may be included in the price or shown separately.
Higher Penalties for Breaches
For breaches of the price‑labelling provisions, penalties are increased. Instead of the previously applicable penalty of EUR 1,450, a future breach will attract a fine of up to EUR 2,500 per product, but not exceeding EUR 10,000 in total. In the case of repeat offences, the penalty range rises to up to EUR 3,750 per product, but not exceeding EUR 15,000 in total.
Furthermore, a multi‑tiered system for imposing penalties is introduced. For a breach, a remedial order is issued in the first step (“counselling instead of punishment”). If this remedial order is fulfilled, the authority may refrain from imposing a fine. If the order is not complied with within a reasonable period, an administrative offence will be punishable by a fine. The “counselling instead of punishment” principle may only be applied again after twelve months have elapsed.
The aim of this amendment is to reduce bureaucratic effort and to strengthen the enforcement of the applicable regulations through a tougher sanction system. The changes come into force on the day after the proclamation of the Budget Measures Act 2026, which should be 1 July 2026.
Until now there was an obligation to display standard room‑price categories in the entrance area, allowing guests an immediate price comparison. This obligation was removed under the Budget Measures Act 2026. Price information is now mainly accessed digitally. In addition, room rates are now dynamic and vary according to season, occupancy or booking time. Consequently, the presentation of standard room prices no longer reflected actual market conditions.
Another point of the amendment is the clarification regarding the indication of tourism taxes. For legal certainty, it is clarified for these businesses that tourism taxes (local taxes) may be included in the price or shown separately.
Higher Penalties for Breaches
For breaches of the price‑labelling provisions, penalties are increased. Instead of the previously applicable penalty of EUR 1,450, a future breach will attract a fine of up to EUR 2,500 per product, but not exceeding EUR 10,000 in total. In the case of repeat offences, the penalty range rises to up to EUR 3,750 per product, but not exceeding EUR 15,000 in total.
Furthermore, a multi‑tiered system for imposing penalties is introduced. For a breach, a remedial order is issued in the first step (“counselling instead of punishment”). If this remedial order is fulfilled, the authority may refrain from imposing a fine. If the order is not complied with within a reasonable period, an administrative offence will be punishable by a fine. The “counselling instead of punishment” principle may only be applied again after twelve months have elapsed.
The aim of this amendment is to reduce bureaucratic effort and to strengthen the enforcement of the applicable regulations through a tougher sanction system. The changes come into force on the day after the proclamation of the Budget Measures Act 2026, which should be 1 July 2026.