Fifteen cents a night — and no one dares spend the money: Mogán freezes its tourist tax

The idea — and the immediate pushback

Mayor Onalia Bueno (Juntos por Mogán-Coalición Canaria) introduced the tax because a municipality like Mogán carries enormous costs relative to its population: rubbish collection, water supply, beach cleaning, road surfacing, parking. The bill is footed by 23,000 residents — but the services are used by several million overnight guests a year. The logic: those who use the service should help pay for it. Fifteen cents per person per night. A family of two adults and one child pays €3.15 for a week. No more than a café cortado.

That was already too much for the hoteliers. A day after it took effect — on 12 March 2025 — the Canary Islands' High Court (TSJC) provisionally suspended the tax at the request of the FEHT trade association. The industry argued the bylaw was formally flawed, citing «innumerable irregularities».

Mogán fought back, applied for the suspension to be lifted — and won. On 26 March 2025 the TSJC lifted the freeze, with a reasoning that was awkward for the industry: any «damage» to the hotel trade would be «purely economic» and «fully recoverable» if the case ultimately succeeded. Meaning: in the worst case, every guest gets their 15 cents back. The tax has been collected again since 27 March 2025.

The main case has been running ever since. The ruling on the validity of the whole ordinance was announced for February 2026 — it still has not arrived.

Why the money stays frozen

Bueno has made a decision that is politically unusual: she collects the money but does not spend it. No new promenade in Amadores, no resurfacing in Puerto Rico, no water project in Taurito. Everything is on hold.

The reason is legally clean, politically smart: if the TSJC eventually rules the ordinance void, the money has to be paid back — to the hotel operators who collected it from guests and handed it to the council. If Mogán had already spent it on a new road surface, the council's coffers would be empty and the ruling would have swallowed every cent.

So the €721,769 sits on ice. And the pile grows every day the ruling stays away.

What tourists actually pay

To make it concrete:

One person, 7 nights: €1.05.
A couple, 14 nights: €4.20.
Family with 2 children (over 14), 14 nights: €8.40.

The tax is collected by the hotelier or letter and transferred to the council every six months. On the bill it appears as a separate line. Anyone arriving on a cruise ship and not staying overnight in Mogán pays nothing. Anyone legally renting out a holiday flat must also collect it — the Canarian Vv licence carries that obligation.

What is missing from the law: a refund process should the court strike the tax down. In that case, each guest would have to prove individually where, when and how many nights they booked. No tourist will do that — the 15 cents would effectively end up with the state. That is one of the legal sticking points: who carries the burden if the money has to be returned?

Why other councils are watching

Bueno is a pioneer — and not alone. Five town halls have asked Mogán how this works technically and legally: Málaga, O Grove (Galicia), La Laguna (Tenerife), La Oliva and Puerto del Rosario (both Fuerteventura). Galicia passed its own regional tourist tax in spring 2026.

There is still none across the Canaries. According to Istac, 43.3% of residents are in favour, 24% against — on Lanzarote, support runs to 51.8%, the highest in the archipelago. The regional government in Las Palmas continues to hesitate.

Bueno's message to Madrid and to the regional government: if the TSJC confirms the tax in the end, she will raise it. Fifteen cents was the entry point, not the destination. The model being floated would fund the «full water cycle» — drinking water, waste water, desalination. For a tourist area that supplies three to four times as many people in summer as it has residents, the argument writes itself.

What this means for you as a tourist or expat

Tourists: You already pay the 15 cents per night in Mogán today — the tax is valid, and from a guest's point of view the ruling does not directly affect that. The hotel bill should list it separately, feel free to ask. If the court later strikes it down, the hotelier would theoretically have to refund the amount. In practice, for 15 cents, that is unrealistic, honestly.

Expats with a holiday flat in Mogán: You have to collect and remit the tax every six months, just like the hotel next door. Anyone who doesn't risks an administrative procedure — the council has your details via your Vv number and can cross-check. If in doubt, call Mogán Gestiona (the relevant office at the town hall).

Mogán residents: Treat it as a savings account. If the ruling falls in Mogán's favour, the money goes straight into infrastructure — which you use every day. If it is struck down, it's gone, without any harm to the council's coffers.

Observers from other islands: The ruling from Las Palmas will set a precedent. It will decide whether municipalities in the Canaries can levy tourist taxes on their own at all — or whether that is a matter for the regional government. Bueno is therefore playing not just for €721,769 but for a template for the whole of Spain.

Frequently asked questions

How much is the tourist tax in Mogán?

15 cents per person per night for every overnight stay in tourist accommodation. One person pays €1.05 for 7 nights; a couple pays €4.20 for 14 nights.

Why is Mogán not spending the money it has collected?

Because the Canary Islands' High Court (TSJC) has not yet ruled on whether the tax ordinance is valid. If the court strikes it down, the money would have to be repaid. Until then the €721,769 sits untouched in the account.

Who is suing over the Mogán tourist tax?

The FEHT Las Palmas hotel association. It argues the municipal bylaw is formally flawed. The ruling in the main case was announced for February 2026 but is still pending.

Do private holiday flats also have to collect the tax?

Yes. Anyone legally renting out a holiday flat in Mogán with a Vv licence must collect the 15 cents per night and remit it to the council every six months — exactly like a hotel.

Is Mogán the only municipality in Spain with a tourist tax?

Mogán was the first municipality in Spain to introduce its own tourist tax, in March 2025. Five other town halls have asked about the model; Galicia passed a regional tourist tax in 2026. There is still no other one in the Canary Islands.