Local Accommodation (AL) Registration in Portugal

When adapting a property for tourist accommodation, it's not enough for it to simply be comfortable and habitable for guests looking to rent for a short stay.
In Portugal, the National Register of Local Accommodations (RNAL) has become the official platform for registering and monitoring tourist accommodations. Since October 2023, registration applications are valid for five years and must be renewed to remain active. This registration is essential for operating legally and is also a requirement for listing on international tourist rental platforms.

To rent out a property as tourist accommodation, you must first register it with the local accommodation authority . This process is completely free and must be completed before renting out a property as tourist accommodation to comply with Portuguese law.

How can I apply for local accommodation registration (AL) in Portugal?

Ensure that the building is located in an area designated by AL

Portuguese municipalities can define buffer zones when authorizing tourist rentals in order to maintain affordable housing and rentals for residents. Buffer zones are those where more than 25% of available housing is dedicated to local accommodation.
In buffer zones, a single owner is limited to a maximum of seven properties with their respective licenses , which are non-transferable.

Municipal authorities conduct regular inspections to ensure compliance with local rental property regulations and may revoke licenses for violations. Therefore, it is essential to check the specific requirements with each municipality and ensure compliance to avoid penalties and administrative closure

There are also areas of temporary suspension, which are those in which the available housing intended for tourist accommodation is between 10 and 20% .

Condominium board decision-making power

If you wish to open a local accommodation establishment (AL) in a condominium, you must obtain the approval of the other co-owners . If more than half of them object, the accommodation cannot be established.

While permission from the homeowners' association is generally required for accommodations in buildings under horizontal property ownership, Portuguese law makes certain exceptions for single-family homes or accommodations located in buildings where direct community rights are not exercised. It is advisable to seek legal advice before starting any procedures to avoid complications

Opening of independent business activity with the tax authority

After obtaining your NIF number, you must appear in person or online before the tax authority or a tax office to declare the start of your business as a contractor . Although the process can be done online, we recommend doing it in person, as questions may arise that a tax advisor can answer on the spot.

The most appropriate economic activity code that best suits the accommodation must be chosen:

• 55201 (Furnished accommodation for tourists) : Code intended for furnished tourist accommodations that have reception and cleaning services.
• 55204 (Other short-term accommodations) : Code intended for furnished tourist accommodations for tourists that do not have reception and cleaning services with a maximum stay period of 30 days.

Register local accommodation

As previously mentioned, this registration is mandatory to begin operating a local accommodation business. Before starting the registration process, a notification with a deadline must be sent to the mayor of the municipality where the accommodation will be located.
The notification must include the following information:

• Title and name of the property.
• Room type and number of rooms available

To apply for registration of local accommodation, you can do so online through the Balcão do Empreendedor (BdE) , accessible on the Portuguese e-portal via the Portugal tourism portal .
The registration process provides each local accommodation application with a local accommodation license . With this license, the local accommodation can begin operating and can be listed on OTAs such as Booking or Airbnb.

Valid mandatory civil liability insurance

Every owner responsible for operating tourist accommodation must have valid liability insurance, as required by Portuguese law . The person responsible for the property is obligated to take out a liability insurance policy.

Documentation required to register local accommodation

• Property owner's identification document, access code to the commercial registration certificate.
• Liability insurance signed.
• Property registration.
• Title that legitimizes the owner to exploit the property.
• Declaration and activity submitted to the tax authority.
• Authorization from the condominium board in the case of a hostel.

Requirements to obtain local accommodation registration

Legal requirements

• Adequate conditions for the conservation and maintenance of the building's facilities.
• Connection to the public water supply network or presence of a private network of the same duly controlled.
• Connection to the sewer network or having septic tanks adapted to the dimensions of the establishment.
• Hot and cold running water network.
• Ensure ventilation through a window or balcony with access to the outside.
• Furnished and equipped property for any stay.
• Equipment to block out external light.
• Ensuring guest privacy through doors equipped with security locks, as well as sanitary facilities.
• Include notes on the operation and rules of the establishment. Establish a book available in Portuguese, English, and two other languages.

Security requirements

• Accessible first aid equipment.
• Fire extinguishers and thermal blankets are accessible.
• Emergency number display in an accessible area.
• In case you wish to use it, there is a complaints book available.
• Valid civil liability insurance.

Duties as a local accommodation owner

Reporting of Guest Arrivals and Departures to Authorities:
The Portuguese Agency for Integration, Migration and Asylum (AIMA) requests that managers of apartments and hotels registered with local accommodations (AL) report the details of all foreign guests, including the reservation holder and any accompanying persons. The required data includes:

• Name.
• Identification number.
• Nationality.
• City of origin before arriving at the accommodation.
• Destination city after the stay.
• Application of municipal taxes.

Some municipalities in Portugal have implemented a Tourist Tax , which applies to stays in local accommodations or tourist resorts in cities where this tax is in effect. In addition to the room rate, an extra charge is levied per person per night. For example, in Porto, the tourist tax is mandatory and amounts to €2 per person per night, with the exception of children under 13, for a maximum of 7 nights.

Regarding taxes, tourist taxes in certain locations vary depending on the type of accommodation, the number of people, and the length of stay. It is essential to be informed about the specific tax obligations of the municipality where the accommodation is located to ensure proper management and avoid penalties