When will Airbnb's need to be licenced

[MariaRubia]

While I was sorting out a licence on the Ministry of Tourism website the other day (living the dream) I noticed a link to apply for a licence for tourist rented apartments such as Airbnb. So they have it set up and I wonder how soon Airbnb's will be required to hold a licence.

The online process is quick and their website is very well written to be fair. But the ramifications of this are that Airbnb owners would need to show they are registered with DGII and so are paying tax on their rental incomes. And would need to show valid insurance that covers third party liability. And valid residency (at least that's a requirement for hoteliers). And there will be mandatory inspections.

So while the process is simple I imagine it would close down an awful lot of Airbnb's if it does get implemented. The hotel sector has said for years that Airbnb's need to be regulated but this is the first time I've seen something concrete which suggests it will happen.

 

[CristoRey]

It should have happened years ago.
Airbnb needs to be held to the same standard as hotels, just like Uber should have been held to same the licensing requirements as taxis starting from day one.

 

[RDKNIGHT]

While I was sorting out a licence on the Ministry of Tourism website the other day (living the dream) I noticed a link to apply for a licence for tourist rented apartments such as Airbnb. So they have it set up and I wonder how soon Airbnb's will be required to hold a licence.

The online process is quick and their website is very well written to be fair. But the ramifications of this are that Airbnb owners would need to show they are registered with DGII and so are paying tax on their rental incomes. And would need to show valid insurance that covers third party liability. And valid residency (at least that's a requirement for hoteliers). And there will be mandatory inspections.

So while the process is simple I imagine it would close down an awful lot of Airbnb's if it does get implemented. The hotel sector has said for years that Airbnb's need to be regulated but this is the first time I've seen something concrete which suggests it will happen.

when pigs fly if the hotel sector didnt gouge the Tourist maybe then the Tourist would think about renting a hotel room and not an Airbnb

 

[hammerdown]

Think motorcycle helmets

 

[Liberator]

It should have happened years ago.
Airbnb needs to be held to the same standard as hotels, just like Uber should have been held to same the licensing requirements as taxis starting from day one.

Bit off topic; what standards are set for vehicles (I don't want to call them cars) that hit the road every day? That should be given much more priority.

On topic: How is the demand for AirBnB in e.g. SDQ? It seems to me that you should be quite familiar with daily routines and environment you are staying in before booking such accommodation? (call it streetwise), I cannot imagine visisting a city like SDQ for the first or second time time you will book an AirBnB?

 

[Manuel01]

I'm so fed up on paying taxes for everything. Just that another useless idiot that never will pay one cent to the comunity can have eight in state of seven children that are fed on my Tax $.

 

[Big]

I know the Airbnb concept is very popular and many swear by them. I have never stayed in one. Santo Dom has way too many nice and convenient hotels. I need service and cannot imagine renting from Guido. As far as being "gouged" it has never happened to me here. In fact, as a return customer I receive upgrades for being a business traveler. Further there are some super nice economical hotels in S.D .

 

[Big]

I'm so fed up on paying taxes for everything. Just that another useless idiot that never will pay one cent to the comunity can have eight in state of seven children that are fed on my Tax $.

I am fed up with paying taxes as well. I love to pay cash when I can. However, Hotel accommodations must be paid with a CC. Here like the U.S when you inquire about a discount for cash the persons pupils turn to dollar signs, and they start licking their lips. Money talks!

 

[2020]

While I was sorting out a licence on the Ministry of Tourism website the other day (living the dream) I noticed a link to apply for a licence for tourist rented apartments such as Airbnb. So they have it set up and I wonder how soon Airbnb's will be required to hold a licence.

The online process is quick and their website is very well written to be fair. But the ramifications of this are that Airbnb owners would need to show they are registered with DGII and so are paying tax on their rental incomes. And would need to show valid insurance that covers third party liability. And valid residency (at least that's a requirement for hoteliers). And there will be mandatory inspections.

So while the process is simple I imagine it would close down an awful lot of Airbnb's if it does get implemented. The hotel sector has said for years that Airbnb's need to be regulated but this is the first time I've seen something concrete which suggests it will happen.

when pigs fly!

More importantly, why the focus on this industry when there are plumbers and other tradesmen selling real estate in the Dominican Republic? People selling real estate should go through an ongoing RE education system, regulated and licensed.

 

[aarhus]

when pigs fly!

More importantly, why the focus on this industry when there are plumbers and other tradesmen selling real estate in the Dominican Republic? People selling real estate should go through an ongoing RE education system, regulated and licensed.

Since I started with RE in the DR in 2006 the AEI the realtors association has been working on that. The politicians aren't interested. Guess why. I since several years don’t work myself with RE anymore.

 

[aarhus]

I wonder how many will sign up to report and pay tax on their Airbnb income. They will be put in a huge disadvantage compared to the majority who won’t.

 

[Manuel01]

I wonder how many will sign up to report and pay tax on their Airbnb income. They will be put in a huge disadvantage compared to the majority who won’t.

They don't really have to. The DR Government can make a Deal with Airbnb to ad (and take automatically away) a certain percentage of Itbis and Tax and tranfer it directly to the government. Recently Estonia has made such a Deal with Airbnb. Also The DR Authoroties can demand a monthly Report (entire europe does this) of all business activities of Airbnb in the country. Airbnb can not refuse such a request, otherwise it can be banned from operating here.

 

[aarhus]

They don't really have to. The DR Government can make a Deal with Airbnb to ad (and take automatically away) a certain percentage of Itbis and Tax and tranfer it directly to the government. Recently Estonia has made such a Deal with Airbnb. Also The DR Authoroties can demand a monthly Report (entire europe does this) of all business activities of Airbnb in the country. Airbnb can not refuse such a request, otherwise it can be banned from operating here.

So Airbnb will only accept operators with a license and tax ID RNC nr from the dgii ?

 

[Manuel01]

Al

So Airbnb will only accept operators with a license and tax ID RNC nr from the dgii ?

No, you can operate a small business only with your cedula. I do not remember the exact amount somebody is allowed to make per year. (persona física y numero cedula como RNC)

 

[lindalee033]

Hello all... I've been a member since 2004 but have not logged in for a LONG while.... do we have real estate listings anymore?

 

[AlterEgo]

Hello all... I've been a member since 2004 but have not logged in for a LONG while.... do we have real estate listings anymore?

No, real estate ads have not been activated in the new software.

 

[aarhus]

No, real estate ads have not been activated in the new software.

Understandable. It’s a lot of work.

 

[windeguy]

I wonder how many will sign up to report and pay tax on their Airbnb income. They will be put in a huge disadvantage compared to the majority who won’t.

As I understand it, those who use Airbnb to rent their space in the DR will be forced to sign up because the agreement will be between the DR government and Airbnb itself. The reporting will be from Airbnb corporate to the DR government. Tough to avoid it.

 

[windeguy]

I am fed up with paying taxes as well. I love to pay cash when I can. However, Hotel accommodations must be paid with a CC. Here like the U.S when you inquire about a discount for cash the persons pupils turn to dollar signs, and they start licking their lips. Money talks!

I don't use a credit card in the DR and stay in hotels. I get the price before I stay there and don't mention how I will be paying.
Nothing to do with new regulation on Airbnb's...

 

[windeguy]

Now, if someone wants to rent for one day using Airbnb, and then make a deal directly with the owner while paying in cash for the remainder of the rental period, that could be one way to avoid the Airbnb tax.