DC Short-Term Rental Law Goes Into Effect

The District of Columbia’s law regarding short-term rental hosts that was passed in 2018 is now going into effect. Those considered short-term rentals “allow a host to offer fee-based lodging at their primary residence while the host is present on the property.” Each stay is limited to 30 or fewer continuous nights. Hosts must be present on site for all but up to 90 days per year. Hosts are required to collect sales tax on the accommodations from the guests and pay it to tax authorities (rental platforms such as Airbnb must collect the taxes on behalf of their hosts). There is one tax obligation when applying to be a short-term rental host that requires “A Certificate of Clean Hands issued within the last 30 days in the property owner’s name must be obtained from the Office of Tax and Revenue.” Operators are responsible for getting licensed by April 10, 2022, when the department will start enforcing the law. (DCRA, Short-Term Rental Regulation Act of 2018 (14 DCMR Section 9901.6), effective immediately)

Posted on February 25, 2022