Tourist tax revenues in Italy are experiencing a significant boom, with the first half of 2026 alone seeing over $438 million collected, marking a 13% increase from the same period in 2025 and a 30% rise from 2024. The JFC National Observatory estimates that by the end of 2026, total revenue will hit $1.308 billion, up from $1.150 billion in 2025. This surge is attributed not only to a general increase in visitor numbers (with arrivals up 4.2% and overnight stays up 7.5% in the first three months of 2026) but also to the growing number of municipalities adopting the tax and existing municipalities increasing their rates. Since 2011, the number of municipalities with a tourist tax has jumped from 13 to an estimated 1,411 in 2026, with 53 local authorities having already raised their rates for 2026.
Rome continues to be the top earner, collecting $110.6 million in the first six months of 2026, which represents about a quarter of the national revenue. Milan has shown the most dramatic increase, with revenues climbing from $35.5 million in 2024 to $49 million in 2025 and $65.8 million in 2026, an 85.1% rise over three years, partly due to hosting the Milan-Cortina 2026 Winter Olympics. Florence reached $82.7 million in 2025, while Venice saw a slight decrease in 2025 revenue to $38.6 million.
Despite the record revenues, a significant concern among tourism marketing companies and hotel associations is that a large portion of these funds are not being allocated to tourism-related services or infrastructure, as was the original intention of the tax. While the tax is meant to fund improvements in tourism services, maintenance of monuments, or infrastructure like public toilets and cycling paths, many municipalities are using the revenue to cover general budget shortfalls. Less than 20% of the collected funds are reportedly dedicated to tourism purposes, with some municipalities using the money for sporting events, general maintenance, or public transport, rather than directly enhancing the tourist experience. This has led to calls for unified national regulations and more transparency in how the funds are utilized.
