Kihnu wants to introduce tourism tax

The proposed levy, which proponents say would bring in an additional €40,000 per year to the island, population a little under 700, has both its supporters and opponents among Kihnu's business community.
Leaders on the small island of Kihnu are considering introducing a tourism tax.
The island's mayor, Egon Vohu, said: "Since quite a lot of tourists visit Kihnu and we need to manage waste and maintain public order, this could serve as a source of income."
The tax would be paid when traveling by ferry to the island, he added.
"Administratively speaking, the tourism tax would be collected through the ferry ticket, with the operator handling the collection of that. This could be up to a couple of euros per ferry ticket."
Vohu said travelers with vehicles, particularly larger ones, should be charged more than those on foot. "Our goal is to reduce the number of vehicles coming to the island, especially 40-seat buses, which cause issues because our roads are narrow," the mayor added.
The concept is still very much at an early stage, but businesspeople on the island have already started forming their opinions on it.
Elly Karjam, the owner of a guesthouse on Kihnu, said: "The idea of a tourism tax is very unclear to me. Business owners have not been consulted. Many questions have arisen regarding who is considered a Kihnu resident and who is a tourist. If all these questions are clarified, then maybe, why not."
Taimi Vahkel, owner of the Rooslaiu talu farm, said she was in support too. "The tourists I've spoken to have brought up this topic themselves, saying that it could be implemented here or on the islands in general," she added.
Vahkel said tourists create waste, while the tax would aid the municipality; bulky camper vans should face higher taxes, he said, noting that other transport options exist.
Some business owners believe that the revenue generated would be small and has to be offset against the risk of deterring tourists, which would be significant.
Cafe owner Eve Laos said: "I am completely opposed to this tax."
"I don't even call Kihnu visitors 'tourists'; they are our dear guests. They are welcome here, and I don't want a separate tax to be imposed on them. We expect a certain number of visitors, but if this tax is introduced, that number may decrease. Couldn't this one or two euros be collected in some other way?" Laos went on.
Kihnu entrepreneur Mare Mätas said the policy would hike the cost of visiting the island further still.

She said: "Traveling to Kihnu is already very expensive. The downside is that if the ticket price is raised even further, it could influence people's choices. It will certainly impact family tourism, making it extremely costly," adding that potential visitors with families, for instance, may go somewhere else instead.
The tax would only be justified if it were collected for a specific purpose such as further tourism development, waste management, or the establishment of new recreational areas, Mätas added.
Kihnu's municipality has an annual budget of around €2 million.
The municipality aims to introduce the tax by 2026 and will seek ministry approval if the council agrees.
However, the relevant ministry, the Ministry of Regional Affairs and Agriculture, said imposing the new tax is not realistic in the near future.
Sigrid Soomlais, deputy secretary general at the regional ministry, said: "There is currently no willingness in the government to move forward with local taxes or tax-related matters."
Soomlais made her remarks at a time when the issue of cutting bureaucracy and pursuing an approach more economically on the right has led to a rift in the national coalition.
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Editor: Andrew Whyte, Merili Nael
Source: "Aktuaalne kaamera," reporter Kristi Raidla.