Airbnb Rules in Portugal: Complete 2026 Compliance Guide for STR Hosts & Property Owners

Portugal’s Alojamento Local (AL) licensing requirements for short-term rentals underwent significant reform with Decree-Law No. 76/2024, which entered into force on 1 November 2024 and shifted regulatory authority decisively toward municipalities while maintaining national standards for registration and operations. All short-term rentals in Portugal must register through the Balcão do Empreendedor (BUE) portal and comply with both national legal framework requirements and municipal local regulations.

This guide addresses the legal requirements to operate short-term rentals in Portugal, covering every compliance obligations from initial licensing through ongoing operational standards.

What this guide covers:

This comprehensive resource details Portugal’s alojamento local registration requirements, municipal compliance standards, tax obligations, safety requirements, penalty structures and step-by-step application processes. This guide excludes general Airbnb hosting tips, marketing strategies or property management advice unrelated to legal compliance.

Who this is for:

This guide is designed for current and prospective Airbnb hosts in Portugal, property owners considering local accommodation establishments and real estate investors evaluating Portugal’s short-term rental market. Whether you’re launching your first local accommodation or ensuring ongoing compliance with the new law, you’ll find specific regulatory guidance and actionable requirements.

Why this matters:

The 2024 decree law removed the national moratorium and restored municipal autonomy in regulating short-term rentals in Portugal. Some cities now operate under a containment ratio for short-term rental licenses relative to permanent housing stock, with Portuguese authorities actively monitoring compliance through dedicated enforcement mechanisms.

What you’ll learn:

• Portugal’s AL registration process and documentation requirements

• Municipal vs national regulatory structure under the new legal regime

• Complete tax obligations including tourist taxes and income reporting

• Mandatory valid insurance and safety compliance standards

Understanding Portugal’s short-term rental legal framework

Portugal defines alojamento local as temporary accommodation services regulated under Decree-Law No. 76/2024 which established the current national framework while granting municipalities autonomy to define containment zones and sustainable growth areas.

The regulatory framework balances tourism revenue generation with addressing housing shortages and house prices concerns in the rental market. Portuguese law shifted from national moratoriums to localized control, allowing each municipality to set its own short-term rental restrictions based on local community needs and residential buildings density.

Alojamento local registration requirement

Every property offering local lodging regime services must register through the national Balcão do Empreendedor (BUE) portal. This registration yields an AL license number (commonly formatted as XXXXX/AL) that must be displayed prominently on all Airbnb listings and other booking platforms.

The registration requirement connects to Portugal’s legal framework because it establishes the fundamental distinction between legal local accommodation and unauthorized rental operations, with Turismo de Portugal maintaining a public database of all registered properties.

Municipal vs national authority

Decree-Law No. 76/2024 transferred significant regulatory power from national government to individual municipalities, creating a decentralized system where city council decisions override previous national restrictions. Each municipality now has authority to define specific requirements, create containment areas and impose additional conditions on short-term rental property hosts within their jurisdiction.

Building on the registration requirement, municipalities receive all AL license applications through the national portal but retain 60 days (extendable to 90 days in containment zones) to oppose registrations based on local regulations. This creates a dual compliance system where vacation rental hosts must satisfy both national standards and city hall requirements.

Containment areas and restrictions

Lisbon and Porto city center historic areas are examples of current containment zones, where housing pressures drove initial short -erm rental rules. Municipal authorities can create new containment areas based on housing density data. These restrictions require ongoing monitoring as regulations evolve across Portugal’s municipalities.

Licensing requirements and application process

The AL license application process requires comprehensive documentation proving property eligibility, ownership authorization, and compliance with safety standards before any local accommodation operations can legally commence.

Required documentation for AL registration

Property ownership verification demands deed documentation or ownership records, while tenants need explicit rental authorization from property owners permitting short-term rental subletting. Identity documentation including Portuguese tax identification numbers and contact details must accompany all applications.

Valid insurance documentation proving civil liability coverage represents a mandatory requirement, with policies covering at least €75,000 per claim, specifically including short-term rental activities. Property suitability declarations confirming the unit meets safety and habitability standards complete the core documentation requirements.

Registration process and timeline

Registration operates as a free “prior notification with deadline” (notificação prévia) rather than a full permit process. Hosts submit listing details including property address, maximum capacity and fixed bed count through the online system, initiating the municipal review period.

The 60-day inspection period allows municipality authorities to review applications and conduct property inspections, extending to 90 days in designated containment areas. During this period, city hall may request additional documentation or impose local conditions before granting hosting authorization.

License transferability and duration

Decree-Law No. 76/2024 introduced significant changes to license transferability rules, allowing AL registrations to transfer with property sales under specific requirements and subject to municipal regulation. The new law removed the previous 5-year license expiration requirement that had been imposed under Mais Habitação (More Housing program), providing greater stability for hosts.

These changes connect to ongoing compliance because transferred licenses remain subject to municipal regulations and must maintain valid insurance and safety standards to avoid cancellation.

Operational rules and compliance standards

Licensed local accommodation operators must maintain ongoing compliance with guest capacity limits, safety equipment standards and reporting requirements throughout their operational period.

Guest capacity and property Standards

Maximum capacity under current regulations limits properties to 27 guests total (reduced from the previous 30-user limit), with fixed beds in up to nine bedrooms nationally. The normal use calculation permits 2 adults per bedroom plus additional living room occupancy where appropriate.

Convertible beds may supplement capacity at up to 50% of fixed beds, enhancing flexibility without exceeding density limits. Safety equipment including smoke detectors, carbon monoxide detectors, first aid kits, emergency exits marking and fire extinguishers must meet standards enforced by Autoridade Nacional de Emergência e Proteção Civil (ANEPC), the national authority on emergency and civil protection.

Registration and reporting requirements

Foreign tourist stays require reporting through the SIBA (Sistema de Informacao de Boletins de Alojamento / Accommodation Bulletin Information System) platform within 3 working days, with Portuguese authorities maintaining surveillance of compliance. The National Local Accommodation Registry number (RNAL) must be provided at the time of registration. Municipal registration portals impose additional obligations depending on location, requiring hosts to register guests and maintain accurate records.

Documentation retention requirements mandate keeping guest registers, tax receipts and compliance certificates accessible for inspection by authorities. Record keeping standards support both tax compliance verification and enforcement investigations.

Insurance and liability requirements

Mandatory civil liability insurance with minimum €75,000 per claim requires annual proof submission to maintain active registration status. Turismo de Portugal publishes insurance information publicly, allowing guests and other authorities to verify host compliance.

Insurance lapses could trigger license cancellation proceedings. Standard homeowner’s insurance typically excludes commercial rental activities, requiring a specialized short-term vacation rental policy addressing Portugal’s premises liability laws for renting to tourists.

Tax obligations and financial requirements

Short-term rental operators face multiple tax obligations including municipal tourist taxes, personal or corporate income tax and potential VAT requirements depending on rental income levels.

Income tax declaration requirements

All hosts must register a “Start of Activity” declaration with the Portuguese Tax Authority (Autoridade Tributária e Aduaneira) before commencing vacation rental operations. This registration establishes the framework for personal income tax (IRS) at progressive rates up to 48% or corporate tax (IRC) depending on business structure.

DAC7 EU data transmission requirements mean platforms like Airbnb automatically report host earnings to Portuguese authorities, eliminating the possibility of unreported income. Annual earnings tracking through official channels remains mandatory regardless of platform reporting.

Municipal tourist tax obligations

Tourist tax collection and remittance to city councils varies by municipality, with Lisbon charging €4 per person per night (maximum 7 nights) and Porto charging €3 per person per night from December 2024. Airbnb automatically collects and remits tourist taxes in Lisbon and Porto, simplifying compliance for Airbnb listings but hosts are still responsible for collecting and remitting taxes for bookings from other OTAs and their direct booking websites.

For other municipalities without automatic collection, hosts must collect taxes directly from guests and submit payments through dedicated municipal portals. Tourist tax exemption criteria exist for certain guest categories, requiring verification and documentation at check-in.

Tax rates and compliance tools

Variable municipal tourist tax rates require hosts to verify obligations with their specific city or municipality before listing. VAT requirements apply when annual rental income exceeds €15,000, requiring registration and remittance of up to 23% VAT on qualifying stays. VAT applicability depends on regime, service type and location.

Airbnb’s free tax guide indicates compliance support, while professional accountant partnerships help navigate Portugal’s specific requirements for short-term rental income reporting and deductions.

Common challenges and solutions

Successful AL short-term rental license compliance requires proactive management of condominium relations, municipal regulation monitoring and insurance documentation that commonly create enforcement triggers.

Challenge 1: Condominium opposition and neighbor relations

Solution:

Proactive neighbor communication and understanding majority approval requirements prevents conflicts before they escalate to formal complaints and potential license cancellation.

New regulations require condominium opposition based on substantiated disturbance evidence, with over half of residents needed to block AL operations in residential buildings. Building relationships with the local community and establishing clear noise protocols minimizes complaint risks.

Challenge 2: Municipal regulation changes

Solution:

Regular monitoring of municipal updates through city hall websites and contact with the AL Ombudsman ensures awareness of changing containment area boundaries and new local requirements.

Municipal regulations vary significantly across Portugal, with Lisbon, Porto, Madeira and Azores each maintaining distinct rules. The decentralized framework means hosts must actively track their specific municipality’s evolving requirements rather than relying solely on national guidance.

Challenge 3: Insurance and safety compliance

Solution:

Specialized short-term rental insurance from providers experienced with alojamento local requirements and regular safety equipment verification ensures continuous compliance.

Standard homeowner policies typically exclude commercial rental activities, leaving hosts exposed as not following short-term rental rules during inspections. Annual insurance renewal aligned with AL registration cycles prevents coverage gaps that trigger automatic cancellation proceedings.

Penalties and enforcement actions

Portugal employs comprehensive enforcement mechanisms targeting unlicensed short-term rentals, invalid documentation and ongoing operational violations through ASAE (Autoridade de Segurança Alimentar e Económica) surveillance and Turismo de Portugal oversight.

License cancellation grounds

Non-compliance with registration requirements results in immediate enforcement action and potential permanent market exclusion. Operating without valid registration number display on listings triggers platform fines. Invalid or expired insurance coverage initiates automatic license cancellation without grace periods. Proven disturbances to residents with formal condominium complaints meeting the majority threshold provide grounds for revocation.

Operating in properties rented for permanent housing in containment areas violates the legal regime fundamentally, with enhanced penalties applying in these designated zones.

Municipal enforcement powers

City hall authorities maintain power to monitor and inspect AL properties without prior notice, with dedicated staff conducting compliance verification. Fines for operating without valid licenses escalate for repeat violations.

The AL Ombudsman role established under recent regulations provides conflict resolution between hosts and residents, with binding recommendations that municipalities enforce. Public information disclosure requirements mean compliance status and complaints are accessible to authorities across jurisdictions.

Appeals exist through formal administrative hearings, but successful challenges require comprehensive documentation addressing all alleged violations and demonstrating corrected compliance status.

Navigating Portugal's STR regulations

Portugal’s alojamento local regulations create a manageable but municipally-varied compliance framework for hosts operating legal local accommodation, with the 2024 Decree Law no. 76/2024 establishing a balanced approach that prioritizes local control over national prohibitions.

To get started:

1. Verify your property qualifies under your municipality’s current containment area rules and building ratios

2. Gather required documentation including ownership proof, identity documents and valid insurance covering €75,000 per claim minimum

3. Register through BUE and await the 60-90 day municipal review period

4. Obtain lodger’s tax registration with your city council and configure tourist tax collection

Additional resources

BUE provides current registration forms and the RNAL submission system for all AL applications. Turismo de Portugal maintains official guidance documents and the public database of registered local accommodation establishments for compliance verification.

Municipal tourism offices offer location-specific guidance on containment zones and local requirements, while AL Ombudsman contacts provide dispute resolution resources. Professional tax advisors specializing in Portuguese short-term rental income can ensure compliance with IRS, VAT and municipal tax obligations across all relevant authorities.

FAQs

What is the Alojamento Local (AL) license and do I need it for my Airbnb in Portugal?

Yes, all short-term rentals in Portugal must have an Alojamento Local (AL) license. This is obtained by registering your property through the national Balcão do Empreendedor (BUE) portal. The resulting license number must be displayed on all your listings, including Airbnb.

What were the main changes to Portugal's short-term rental laws in 2024?

The most significant change introduced by Decree-Law No. 76/2024 was the shift of regulatory power from the national government to individual municipalities. This means cities can now set their own rules, such as creating "containment zones" with stricter limits on new licenses, based on local housing needs.

How much are the tourist taxes in Portugal for short-term rentals?

Tourist taxes vary by city. For example, Lisbon charges €4 per person per night, while Porto will charge €3 per person per night as of December 2024. While platforms like Airbnb may automatically collect this tax in major cities, hosts are responsible for collecting and remitting it for all other bookings. You must check the specific rate with your local municipality.

Can my condominium board stop me from operating an Airbnb?

Yes, a condominium board can oppose your AL operation if they can provide evidence of disturbances and secure a majority vote from over half of the building's residents. Proactively communicating with neighbors and setting clear rules for guests can help prevent such issues.

What happens if I operate a short-term rental without a valid AL license?

Operating without a valid license is a serious violation. Enforcement authorities like ASAE can issue significant fines, which increase for repeat offenses. Your listing may be removed from platforms, and you could face permanent exclusion from the short-term rental market in Portugal.