A short-term rental in Hoboken costs a little more
A second city in Hudson County could start taxing Airbnb and other short-term tenants.
Hoboken plans to extend its 3% hotel tax to other temporary accommodation for visitors, a charge that guests pay directly through Airbnb, Vrbo, Home Away and other providers. Jersey City also taxes visitors staying in short-term rentals beyond hotels.
Mayor Ravi Bhalla’s administration is spearheading efforts in Hoboken, saying the city’s current tax requirements have given companies like Airbnb a loophole regarding the fees that hotel guests see, the door said. word of the city, Marilyn Baer. He estimates that expanding the tax would result in more than $ 100,000 in additional revenue per year.
Baer hinted that the funds could be used to “address some of the quality of life issues these short-term rentals are causing”, although she did not provide additional information on how the new income would be. spent.
Airbnb said it was on the Hoboken side.
“As an intentional platform in our work to ensure communities benefit from travel on Airbnb, we have long supported extending occupancy taxes to short-term rentals in New Jersey and backing this measure in Hoboken.” , said Manny Capellan, head of public policy at Airbnb.
Jersey City extended its 6% hotel tax to other tourist accommodation in 2015. At the time, former city councilor Candice Osborne, like the Bhalla administration, said the measure closed a “loophole” that allowed tourists to avoid costs in Jersey City by choosing alternative accommodation rather than hotels.
The state began taxing short-term rentals in 2019.
The city of Mile Square has dozens of Airbnb listings, many of which are entire condo units. A weekend stay in the next few months, less fees and taxes, ranges from about $ 90 to $ 300 a night.
The ordinance is on first reading at the Hoboken city council meeting on Wednesday.