TR_December_2021

FUNDAMENTALS

AIRBNB

Short-Term Rental Regulations

HOW OWNERS CAN PREPARE FOR AND MANAGE REGULATORY CHANGES

by Pamela Knudsen

ith travel picking up again, short-term rental hosts are

State and local governments continue to enact marketplace leg- islation, with each taxing jurisdic- tion taking different approaches in terms of responsibility, applicability, classification, and fines for failing to comply. Enforcement can come down straight through the marketplace, and compliance with licensing, regis- tration and remittance is being more highly scrutinized than ever. Further obscuring these laws is a difference in overall approach,

THE LONGARMOFTHE LAW In 2020, Airbnb became a target for state and local governments through- out the United States as state law- makers claimed the online market- place was failing to collect and remit billions of dollars in taxes. Through- out the year, states including Califor- nia, Georgia and Illinois, set to work on marketplace legislation that would clamp down on short-term rental platforms such as Airbnb and Vrbo.

W

fully engaged to capitalize on the excitement. But in the rush to attain some semblance of new normalcy, it’s important that owners take a moment to understand new efforts to enforce marketplace legislation around lodging, lest they trip into the myriad regulatory and compli- ance-related potholes that are pop- ping up nationwide.

54 | think realty magazine :: december 2021

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