Local visitor levy
The visitor levy, sometimes called a tourism tax, is a charge that local authorities can choose to apply to overnight accommodation - including things like hotels and B&Bs - in their area. The aim of the levy is to generate additional funding for reinvesting in local facilities and services used by visitors, helping to support and enhance sustainable tourism and local communities.
We set the national framework that allows councils to introduce a visitor levy if they wish to do so. We provide councils with the powers and flexibility to design a levy that reflects local circumstances through legislation. This legislation is in place to ensure transparency, engagement and appropriate use of funds.
Under this framework, local authorities decide whether to introduce a levy, where it applies, and the rate charged. This approach supports our wider commitment to devolving more decision making powers to local authorities.
The Visitor Levy (Scotland) Act 2024
The Visitor Levy (Scotland) Act was passed on 28 May 2024. The Act gave all Scottish local authorities the power to introduce a visitor levy in all or part of their area.
Councils are required to consult with local businesses, tourism organisations, and residents to ensure the scheme reflects local needs and priorities before introducing a levy. This approach empowers councils to make decisions that benefit both residents and the tourism sector, while remaining accountable to their local electorate. As each scheme will be designed and delivered locally, visitors and businesses are encouraged to check with their local council for details about how the levy may apply in their area.
The Visitor Levy (Amendment)(Scotland) Act 2026
The Visitor Levy (Amendment) (Scotland) Bill was passed by the Scottish Parliament on 24 March 2026 and received royal accent on 21 May 2026.
The Bill was introduced in response to feedback from stakeholders during the implementation of 2024 Act. It gives local authorities more flexibility in how they design their local schemes and provides clearer guidance on how schemes should work in practice.
The Bill builds on the 2024 framework in several ways. Specifically the Bill:
- allows local authorities to set the levy as a fixed amount, which can vary by area or purpose
- clarifies that the levy should be calculated on the first sale price when accommodation is sold to a third party
- requires that returns are based on the date of the stay, not the date the accommodation was sold
Businesses will also be able to amend returns after they have been submitted, and accommodation providers will be able to keep a share of what they collect to help cover their administrative costs.
Support for businesses
Every local authority that introduces a visitor levy must provide clear guidance for the businesses responsible for collecting it. Councils must also allow at least 18 months between announcing a new scheme and it coming into force, giving businesses time to prepare. A shorter six-month period applies if a council is switching from one type of levy to another or increasing the rate or fixed amount of an existing scheme.
Guidance for local authorities
VisitScotland has published guidance to support councils in designing and implementing local Visitor Levy schemes.
Visitor levy schemes formally approved and announced:
Payment platform
Visitorlevy.scot is the online payment platform that accommodation providers can use to calculate their visitor levy returns and make payments to their council.