Working with travel agencies and wholesalers: net rates, commission, invoicing and liability (2026)

Updated: 10 November 2026

Travel agencies, wholesalers and tour operators still sell many nights at independent hotels. Before signing, be clear on four things: what kind of rate you give, whom you invoice, who is liable if something goes wrong and whether the agency is registered. This guide sums up EU law and the rules in Spain, Portugal and Italy that affect the hotel, checked on 10 November 2026. It is not legal or tax advice: confirm your case with your adviser.

The short answer

The essentials:

Net rate: you sell the room to the agency at a price and the agency sets its own selling price. Commissionable rate: you set the selling price and the agency earns a commission on it.
If the agency buys in its own name to resell (usual with net rates), your customer is the agency: you invoice it. The travel agents' VAT scheme (Directive 2006/112, Articles 306-310) is applied by the agency, not by the hotel.
If the agency sells a package (for example flight + hotel), the organiser is liable to the traveller for the whole trip (Directive (EU) 2015/2302, Art. 13(1)), but may seek redress from whoever caused the problem (Art. 22).
Ask for the agency's registration number: in Andalusia, its Andalusian Tourism Register code; in Portugal, its RNAVT number.
In Portugal, Decree-Law 108/2021 bans rate parity clauses with platforms.

Net rate and commissionable rate

Two ways of splitting the money. The law sets no percentages: the mark-up or commission is whatever you agree.

Net rate: the agency pays you the agreed room price and adds its margin when selling. You do not know or control the final price to the traveller unless the contract says something about it.
Commissionable rate: there is a public selling price set by you; the agency sells at that price and keeps a commission. It may collect from the traveller and pay you the price minus commission, or the traveller pays you and you pay the agency's commission against its invoice.
With a net rate, put in writing whether the agency may publish it as room-only or only inside a package: this is a contract term, not a legal rule.
In both cases agree in writing: price per night and board, taxes included or not, allotment and release date if any, cancellation policy, payment terms and who collects any tourist tax.

Who invoices whom

The travel agents' scheme is a VAT scheme for the agency. For the hotel, in practice:

It applies when the agency deals with the traveller in its own name and uses supplies from other businesses, such as your accommodation (Directive 2006/112, Art. 306; in Spain, Law 37/1992, Arts. 141-147, per the Spanish Tax Agency; in Portugal, Decree-Law 221/85, Art. 1; in Italy, Art. 74-ter DPR 633/1972).
In that case the agency is your customer: the invoice for the stay is addressed to the agency, not the traveller.
The agency cannot deduct VAT charged to it for supplies that directly benefit the traveller (Directive, Art. 310; Law 37/1992 per the Spanish Tax Agency; DL 221/85, Art. 4(1); Art. 74-ter(3)). This assumes the hotel invoices it with the applicable accommodation VAT, like any other customer. We found no official source saying so in those words: confirm with your adviser.
The agency's invoice to the traveller does not show VAT separately (Spanish Tax Agency; DL 221/85, Art. 4(2); Art. 74-ter(7)). That is normal and does not change your invoice.
If the agency only acts in the traveller's name and on their behalf (commissionable rate, payment at the hotel), the special scheme does not apply (Directive, Art. 306; Art. 74-ter(1)): you invoice the stay to the guest and the agency invoices you its commission.
If the agency is in another country, check the VAT on that commission invoice with your adviser. For Booking, Airbnb or Expedia commissions in Spain see /booking-airbnb-expedia-commission-invoice-spain-vat-reverse-charge-modelo-349-2026.

Who is liable to the traveller

Directive (EU) 2015/2302 allocates liability when there is a package:

The organiser is responsible for performing all travel services in the package, whether it or the hotel provides them (Art. 13(1)). Each country may also make the retailer liable.
The traveller may complain to the retailer where they bought, which must pass it to the organiser without undue delay (Art. 15).
An organiser or retailer that pays compensation may seek redress from whoever contributed to the problem (Art. 22): if the hotel was at fault, the agency may pass the cost on to you. Agree in the contract how incidents are reported and the deadlines.
If the agency sells only your accommodation, with no other travel service, there is no package. If you bundle a room with a transfer or excursion yourself, see /hotel-excursion-transfer-package-travel-directive-2026.

Check that the agency is registered

An agency selling packages needs registration and a guarantee:

Spain: rules are regional. In Andalusia (Decree 114/2023), the agency files a responsible declaration before starting (Art. 6.1), is entered ex officio in the Andalusian Tourism Register (Art. 6.5) and must show its registration code at its premises or website and in its advertising (Arts. 4.2(d) and 6.6). It also needs a guarantee (Art. 10). Other regions not checked.
Portugal: registration in the RNAVT of Turismo de Portugal (Decree-Law 17/2018). The registration number must appear on contracts, correspondence, advertising and websites; plus a contribution to the Travel and Tourism Guarantee Fund (€2,500) or equivalent guarantee and civil liability insurance of at least €75,000.
Italy and Greece: we did not check the applicable register today. Ask the agency for its licence or registration and its guarantee in writing.
A non-EU wholesaler or a company showing no registration number is a reason to ask for prepayment or a guarantee.

Rate parity

Can the agency forbid you to sell cheaper on your website?

Portugal: Decree-Law 108/2021, in force since 1 January 2022, bans agreements with platforms under which the property cannot offer more favourable prices or conditions on another channel or at the property. Whether it also covers a wholesaler that is not an online platform: not confirmed.
For other countries and Booking.com, see /booking-rate-parity-own-website-2026.
With net rates it is usually the other way round: the hotel asks in the contract that the agency does not sell the room alone below the hotel's public price. That is an agreement between businesses; check it with your adviser if competition law is a concern.

How iQuota helps

iQuota is not an agency and does not buy your nights: it publishes your property in AI assistants through a connector, the traveller books directly with you and pays at the property. You invoice the guest and there is no commission (0%). You can keep working with your agencies at the same time. We cannot guarantee that an AI assistant will recommend you.

Want AI to give your real details and terms, with direct booking and no commission? The first 30 hotels join free until 30 June 2027.

See the Founding Hotels programme

Frequently asked questions

What is the difference between a net and a commissionable rate?

With a net rate you sell to the agency and it sets its own selling price. With a commissionable rate you set the selling price and the agency keeps a commission. No law sets the percentages: they are agreed.

Whom do I invoice if the agency pays for the stay?

If the agency buys in its own name, the agency. It cannot deduct the VAT you charge (Directive 2006/112, Art. 310), which assumes your invoice carries the normal accommodation VAT; confirm with your adviser.

Do I have to apply the travel agents' scheme?

No. It is the agency's. It also does not apply to services a business provides with its own means, such as its own accommodation (Spanish Tax Agency).

If the traveller complains about my hotel, who do they claim against?

If they bought a package, the organiser (Directive (EU) 2015/2302, Art. 13(1)), which may then claim against you if you were at fault (Art. 22).

How do I know a Portuguese agency is legal?

It must be registered in the RNAVT of Turismo de Portugal and show its number on contracts and advertising.

Sources

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