Overview
- The court dismissed the lawsuit brought by Munich, Bamberg and Günzburg against the 2023 prohibition on municipal overnight taxes.
- It ruled the ban does not unlawfully infringe municipal financial sovereignty under the Bavarian constitution.
- Judges accepted the state's forecast that such taxes could disadvantage the tourism sector as a legally permissible assessment.
- Munich had projected up to roughly €100 million in yearly revenue from an overnight levy, which remains off the table under the ruling.
- The hotel and restaurant association Dehoga Bayern welcomed the decision, while the cities said they will examine further legal steps with Karlsruhe as the next venue.