Introduction to the new 2025 Rental Law

In 2025 Cape Verde introduced a new legal framework for short-term holiday lets, known locally as Alojamento Complementar (local lodging). The principal measure is Decree-Law No. 56/2024 of 13 November 2024, which entered into force shortly afterwards. The legislation sets clear rules for operating private villas, flats and guest rooms as tourist accommodation, including properties advertised on platforms such as Airbnb and Booking.com. Its purpose is to formalise the sector by requiring every tourist rental to be registered, licensed and taxed, thereby protecting both guests and hosts and promoting fair competition.

The law applies to all individuals and companies that let property to tourists, as well as agencies and online platforms involved in short-term rentals. Operating without a licence is expressly forbidden. A transitional grace period of 120 days from the law’s commencement—now expired—was provided for existing hosts to register; from this point forward, only fully licensed properties may operate legally.

Guest stays are limited to a maximum of 90 consecutive days, and properties that should rightfully be classed as traditional hotels or resorts cannot be registered under the private rental scheme. This guide offers owners on Sal Island a comprehensive, step-by-step route to compliance, covering registration, documentation, municipal procedures, tax obligations and ongoing duties such as safety and record-keeping.

Business Structure and Tax Registration

Before applying for a rental licence, you must establish the correct business and tax arrangements.

Choosing an Operating Structure

  • Private individual: Most small landlords on Sal register as self-employed hosts.
  • Company: You may form a company (for example, a limited company) provided its corporate purpose expressly includes the provision of tourist accommodation.

In either case you must obtain a Cape Verdean Tax Identification Number (NIF) from the tax office or a Casa do Cidadão service centre.

Registering with the Tax Authorities

  • Income tax: Rental earnings are subject to income tax under the national system. Smaller operators may qualify for a simplified regime, but all income must still be declared.
  • Business registration: Register either as a sole trader (Empresário em Nome Individual) or under your company name so the tax authority can assess future liabilities.

Tourist Tax

All accommodation providers must collect the tourist tax (Contribuição Turística), currently CVE 276 per guest per night (up to ten nights, for guests aged 16 and over). The tax is paid to the local council, usually every month. On Sal, the municipal finance department will advise on payment procedures. Failure to collect or remit this tax is an offence.

Property Tax (IUP)

Ensure that the annual property tax (Imposto Único sobre o Património) is fully up to date; municipal staff will check this during the licensing process. Keep receipts as proof of payment.

Social Security

If you intend to employ staff—cleaners, reception assistants or similar—you must register as an employer with the national social security body (INPS) and follow all labour regulations. Sole operators without employees are exempt from this step, but any hired worker must be legally registered.

Registration and Licensing Process

Once your basic business set-up is in place, you can move on to the official registration and licensing of your short-term rental. The procedure is standard across Cape Verde, although the Sal Municipal Council has a specific role in ensuring local compliance.

1. Prepare the Required Documents

Having every document ready will streamline your application:

  • Identification – A photocopy of your national ID card or passport. If you are applying as a company, include a copy of the company’s commercial registration certificate.
  • Proof of Residence (for foreign nationals) – Provide a copy of your valid Cape Verde residence permit or evidence that your application is pending; this is mandatory for hosts who are not citizens.
  • Property Title or Lease
    • If you own the property, supply the certidão matricial (property-registration or tax certificate) or title deed.
    • If you rent, attach the lease agreement. Where the lease does not explicitly authorise tourist subletting, add a notarised letter from the owner granting permission for holiday lets.
  • Municipal Compliance Certificate – A declaration from Sal Municipal Council confirming the property meets all local requirements, including safety, hygiene, comfort, full tax compliance, accurate land-registry status, and a sound façade.
  • Descriptive Memo – A concise description of the accommodation, stating the number of rooms, amenities provided, safety equipment and any services offered.
  • Licence Application Form – The official form (Annex III of the decree-law), obtainable online or from a tourism office, requiring full and accurate details of both applicant and property.

Tip: Make clear PDF scans and paper photocopies of every document; you will either upload them or hand them over at submission.

2. Obtain the Municipal Compliance Certificate

This step involves the Sal Municipal Council’s Urban Planning/Licensing Department:

  1. Where to go – The main council office is in Espargos. Those in Santa Maria may use a local branch if available. Start at the Urbanismo (Urbanism) or Obras Municipais (Public Works) desk.
  2. What to submit
    • The relevant council form for a “Declaração para Alojamento Complementar” (the model in Annex IV of the law).
    • A copy of your property documents.
    • Your ID.
    • The completed licence application form, if requested.
    • A short covering letter asking for the compliance declaration.
  3. Municipal verification – An official may inspect the property for basic safety, hygiene and consistency with your description, and will confirm there are no outstanding tax or zoning issues. In condominium buildings the council will check the ratio of tourist to residential units (no more than 50 percent unless the owners’ association has authorised up to 75 percent).
  4. Issue of declaration – If everything is satisfactory, the council issues a stamped Declaration of Conformity confirming compliance with all requirements, including address, registry number and façade condition. Any defects must be remedied before a fresh certificate is issued. A modest municipal fee may be charged.

3. Register on the Tourism Authority’s Online Platform

With the municipal certificate in hand, register your rental on the national portal (the SGIT platform run by the Instituto do Turismo):

  • Access – Reach the site via the Porton di Nôs Ilha e-government gateway or a direct link supplied by the tourism authority. Create an account with personal or company credentials.
  • Electronic form – Complete the digital version of Annex III: name, contact details, property address, accommodation type (select Vivenda for a villa, Apartamento for a flat, or Quarto for individual rooms), number of rooms and maximum guest capacity. A single unit may not exceed ten bedrooms or twenty guests. Enter the reference of your municipal declaration and attach it.
  • Upload documents – ID, residence permit, deed or lease, owner’s authorisation (if applicable), municipal declaration and descriptive memo must all be uploaded as legible PDFs.
  • Submit – Once the form and uploads are complete, submit the application. Registration and licensing occur simultaneously; no pre-approval stage is required. The system allocates a reference number confirming receipt.
  • Alternative submission – If the portal is unavailable, you may lodge the documents in person or by e-mail at the tourism office or island Casa do Cidadão, though online submission is the norm.

4. Pay the Licensing Fee

After your application is accepted, the system issues a payment slip (DUC). Fees are per unit:

Accommodation type Base fee Plus 15 % tax Total payable (approx.)
Villa/House (Vivenda) CVE 20,000 CVE 3,000 CVE 23,000
Apartment (Apartamento) CVE 15,000 CVE 2,250 CVE 17,250
Individual Room (Quarto) CVE 5,000 CVE 750 CVE 5,750

Payment is made via bank transfer, internet banking, Casa do Cidadão kiosk or another authorised outlet. Keep your receipt. Payment may be split into two instalments on request, though most operators pay in one transaction.

Upon confirmation of payment, the system assigns your official registration number, granting you a provisional licence valid immediately.

5. Provisional Operation

Once your registration is submitted and the licence fee paid, the system issues a registration number that serves as a provisional licence. You may begin hosting guests immediately, provided you adhere to every operational rule from day one.

  • Display the registration number in all advertisements and online listings.
  • Duration – The provisional licence is valid for up to six months.
  • Full compliance still required – Tourist tax collection, guest reporting, safety standards and record-keeping all apply during the provisional period.
  • Physical submission – If you filed the documents in person because the online portal was unavailable, the tourism office will issue a temporary certificate or number confirming provisional status.
  • Automatic conversion – If the authorities do not carry out an inspection and issue a definitive licence within six months, the provisional licence automatically converts into a definitive one.

6. Inspection and Definitive Licence

An inspection is normally scheduled within sixty days of registration. Inspectors from the national tourism authority, the municipal council or the state inspectorate visit the property to confirm that every standard is met.

- What the Inspection Covers

  • Structural soundness, hygiene and general condition of the building.
  • Functionality of water, electricity and sewage systems.
  • Presence and upkeep of required safety equipment:
    • Fire extinguisher of suitable size.
    • Fire blanket where cooking facilities are provided.
    • Smoke detectors (and carbon-monoxide detector if gas appliances are present).
    • First-aid kit.
  • Adequate ventilation and natural light in rooms.
  • Accurate match between the facilities promised in your descriptive memo and what is on site.
  • Availability of the official Complaints Book for guests.

- During the Visit

Accompany the inspectors, answer questions honestly and provide any additional documents requested. Rectify minor deficiencies promptly; serious non-compliance could lead to suspension of the provisional licence.

- Outcome

    • Pass – A positive report is filed and a definitive licence is issued, showing the property classification, maximum capacity and official registration number.

    • Fail with minor issues – You receive instructions to correct the faults and may be subject to re-inspection.

    • Fail with serious issues – The provisional licence can be revoked.

Whether provisional or definitive, the licence certificate must be displayed in a clearly visible place within the property, such as the entrance hall or living area.

Note: As stated earlier, if no inspection occurs within six months of provisional approval, the licence becomes definitive by default.

7. Licence Validity and Renewal

A definitive licence is valid for three years.

  • Renewal window – Apply for renewal at least three months before the expiry date; submit the simplified renewal form through the online platform.
  • Supporting evidence – Be prepared to show proof that all tourist taxes, property taxes, and income-tax declarations have been kept up to date during the preceding licence period.
  • Fee – The renewal fee is identical to the initial registration fee (CVE 20,000 for a villa, CVE 15,000 for a flat, CVE 5,000 for a room, plus 15 per cent tax).
  • Continued validity – If you lodge the renewal application on time, the existing licence remains valid until the authorities issue the new one.
  • Possible re-inspection – The tourism authority may conduct another inspection before renewing, particularly if significant changes have been made to the property.
  • Importance of deadlines – Operating with an expired licence is treated the same as operating without any licence and is subject to substantial fines.

Ongoing Compliance and Operating Duties

Possessing a licence is only the first step. Property owners must meet a range of continuing obligations to remain fully compliant.

Display of Licence Number

The official registration or licence number must appear in every advertisement, online listing, brochure, social-media post or other promotional material. Rental platforms increasingly refuse unregistered properties, so ensure the number is clearly shown.

Guest Registration (Immigration Reporting)

Like hotels, holiday-let operators must report all foreign guests to the immigration authority (Direção de Estrangeiros e Fronteiras). 

      1. Sign-up – Register for the automatic lodging-bulletin system run by the National Police or the relevant immigration service.

      1. Report deadlines – Submit an individual lodging form for each foreign guest within 24 hours of arrival.

      1. Record-keeping – Retain digital or printed copies of all submissions in case of audit.

    Guest Logbook

    Maintain a guest log (livro de hóspedes)—digital or paper—containing names, passport numbers and check-in/check-out dates for every stay. This assists with immigration reporting, taxation, and security inspections.

    Official Complaints Book

    Every tourist establishment must keep an official Livro de Reclamações (usually a red, pre-numbered booklet). It must be:

        • Available to guests on request.

        • Stored on the premises in an obvious place.

        • Forwarded to the authorities if a complaint is recorded.

      Failure to possess or display the book is an offence.

      Safety Measures

      Requirement Minimum Standard
      Fire-safety equipment At least one appropriate fire extinguisher and a fire blanket where cooking facilities exist.
      Detection Smoke detectors throughout; carbon-monoxide detector if there are gas appliances.
      First-aid Stocked first-aid kit accessible to guests.
      Information Emergency contact numbers and evacuation instructions posted clearly.
      Structural safety Safe electrics, secure railings or balcony guards, no exposed wiring.

      Civil-Liability Insurance

      Hosts must hold valid public-liability cover to protect guests against injury or property loss. Policies are sold locally under the heading Responsabilidade Civil Alojamento. Keep the policy current and on file.

      Quality Standards

      Provide clean bed linen and towels, maintain hygiene, perform regular cleaning, and never exceed the licensed capacity. All advertising must accurately portray the property—no misleading claims or photography.

      Tax and Fee Obligations

        • Property tax (IUP) – Pay annually by the statutory deadline.

        • Tourist tax – Collect CVE 276 per guest per night (maximum ten nights, age 16+) and remit to the council monthly or as instructed.

        • Income tax – Declare rental income each year and, if applicable, submit VAT or other levies.

        • Local charges – Comply with any additional municipal fees, for example refuse-collection surcharges on tourist lets.

      Personal Use Notification

      If you wish to block the property for private use, notify the Tourism Authority at least ten days in advance. Guest stays may not exceed 90 consecutive days.

      Limits on Multiple Properties

        • Maximum of 50 units nationwide and 20 units per island per licence holder.

        • In any condominium, no more than 50 % of units may operate as short-term lets unless the owners’ association has formally approved a higher limit (up to 75 %). Secure written consent where required.

      Condominium / HOA Rules

      Where the property lies within a condominium or resort, abide by internal regulations and obtain any necessary permissions from the management committee.

      Updating Information

      Report any change of ownership, management, business address or contact details to the Tourism Authority immediately. Licences are tied to both the property and the named operator.

      Penalties for Non-Compliance

        Cape Verde has empowered the State Inspectorate and municipal officers to enforce the new regime vigorously.

        Offence Fine for individuals Fine for companies
        Operating without a licence or with an expired licence CVE 20 000 – 100 000 CVE 100 000 – 1 000 000
        Other infractions (e.g. failing to display licence number, not charging tourist tax, misleading advertising, exceeding capacity, missing complaints book, neglecting guest reporting) Within the same ranges, classified as light, serious or very serious  

            • Accumulation – Multiple breaches are fined separately and totals can add up quickly.

            • Repeat offences – Fines are doubled for subsequent violations.

            • Accessory sanctions – Authorities may suspend or revoke the licence, order immediate closure, seize unlawful profits, or publish the infringement publicly.

            • Enforcement process – Inspectors issue an auto de notícia (infraction notice). The operator has a right to be heard, but once the penalty decision is final, payment is due within 15 days. Fine revenue is split between the enforcing body and the state.

          The 120-day grace period for pre-existing rentals expired in early 2025. Since May 2025, unlicensed operations on Sal risk immediate sanctions.

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          This might seem like a daunting process, but dont worry, Simply Cape Verde are here to help.

          Our administration team are well versed in the new legislation and we have a bespoke service to help you gain the correct documents and licences to ensure you’re compliant. 

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