Terrace tax suspended to help hospitality recover during coronavirus de-escalation period on Spain’s Costa Blanca

ORIHUELA City Council has decided that bars and cafes are now exempt from paying the additional tax for using pavements for their businesses.

The Councillor for Finance, Rafael Almagro, announced the decision after yesterday’s meeting, held online.

The mandatory fee applicable to all businesses using pavements for chairs and tables will be suspended, with immediate effect.

Almagro said: “This ruling will help the businesses of Orihuela recover during the crisis, they will be exempt from paying this fee until the end of the year.”

Regarding those that had already paid this year’s tax, he added: “They may request a refund of the amount paid between March 14 and the entry into Phase 1 on May 11.”

To prevent a free-for-all, with streets packed with tables and chairs from every bar, Almagro said only establishments with permission to use their terraces may do so.

It means businesses without a terrace licence do not suddenly have the right to use the pavement.