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Home-Sharing Site Airbnb To Start Collecting Tourist Taxes

A studio in South Park rented out through the website Airbnb on Aug. 8, 2011.
A studio in South Park rented out through the website Airbnb on Aug. 8, 2011.

A popular home-sharing website will begin charging tourist taxes to their users in the city of San Diego.

The San Diego Union-Tribune reports some hosts were not paying the taxes on their own, so Airbnb announced it will begin charging customers and pay the city on their behalf starting July 15.

Treasurer Gail Granewich said in March that his office sent more than 250 letters to short-term rental operators who were not registered and hadn't paid fees.

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"We are pleased that Airbnb is taking steps to come into compliance with existing city regulations regarding future collection of transient occupancy taxes and tourism marketing district assessments," Granewich said in a statement. "Starting on July 15, Airbnb will automatically begin collecting and remitting transient occupancy taxes and tourism marketing district assessments on a go forward basis for San Diego property owners who use Airbnb's services for short-term rentals. The city will continue to seek a resolution of owed back taxes and remains in discussions with Airbnb."

Short-term property rentals accounted for $5.6 million in occupancy taxes that were paid to the city last fiscal year.

Airbnb has established methods for paying transient taxes in other cities including Portland and San Francisco, as well as the countries of Amsterdam and France.