1. What is a Vacation Rental Property?
Before starting, it’s important to understand what qualifies as a vacation rental property in the Canary Islands. This type of property is rented out to tourists for short stays, without offering additional services like those found in hotels. The regulations are clear and specific, so it’s crucial to meet all requirements to avoid penalties.
2. Required Documentation to Declare Your Vacation Rental Property
The first step in declaring a vacation rental property in the Canary Islands is gathering the necessary documentation. You’ll need:
Property Deed: A document that proves you are the owner of the property.
Occupancy License or Certificate of Habitability: Ensures that the property meets basic habitability conditions.
Energy Certificate: A mandatory document that indicates the energy efficiency of the property.
In addition, it’s essential to have liability insurance that covers potential damages to third parties during guests' stays.
3. Registration with the Island Council (Cabildo Insular)
Once all your documentation is in order, you must register the property with the corresponding Island Council (Cabildo Insular). This process involves:
Submitting a responsible declaration to the Cabildo, indicating that the property meets all legal requirements.
Including the registration number on all rental platforms, as it is mandatory to display it.
The process is fairly straightforward if you have all the necessary documentation, and once registered, your property will be authorized to operate as a vacation rental.
4. Registering for IGIC: An Essential Step
All tourist establishments in the Canary Islands must be registered for IGIC (Canarian Indirect General Tax). For vacation rental properties, this is done by submitting form 400, where you must register your property under the category 1685 “Non-Hotel Tourist Accommodation.” This step is crucial for complying with tax obligations and avoiding penalties.
5. Local Regulations and Vacation Rental Management
It is essential to be aware of local regulations governing the management of vacation rental properties in the Canary Islands. The laws vary by island, and factors such as the maximum number of occupants or the property’s characteristics may influence specific requirements. Always stay updated with the regulations to avoid legal issues.
If the process seems complicated, or if you prefer to focus on other activities, a recommended option is to hire a vacation rental management service. We, as professionals, will assist you with the registration and handle the daily management of your property, ensuring compliance with all regulations and maximizing your income.
6. Conclusion: Declaring Your Vacation Rental Property in the Canary Islands Is Easy if You Follow These Steps
Don’t leave your property out of the tourist market due to lack of knowledge. By following these simple steps, you can declare your vacation rental property in the Canary Islands quickly and efficiently. And if you prefer to leave it in the hands of experts, a vacation rental management company will help you optimize every aspect, allowing you to enjoy the benefits without complications.
We are here to help you get your project up and running. Now is the time to act and put your property to work for you!