L.A. CITY HALL: Airbnb, short-term rentals, regulation/ tax collection?: Commentary (Opinion L.A. -- Kerry Cavanaugh), "L.A. is A-OK with taxing illegal Airbnb rentals" ....
***Following up on earlier item noted here (L.A. City Hall, regulation/tax collection, Airbnb, short-term rentals)....
* Los Angeles Times (Opinion L.A. -- Kerry Cavanaugh): "L.A. is A-OK with taxing illegal Airbnb rentals" - From the LAT:
Earlier this year, the city of Los Angeles stopped letting illegal medical marijuana dispensaries sign up to pay businesses taxes because, well, they’re unlawful and, as City Councilwoman Nury Martinez explained, “We shouldn’t be making money off of illegal businesses.” This week, however, the city announced a deal with Airbnb in which the company will collect and turn over hotel taxes from short-term rentals booked through its website, even though the vast majority are illegal.
So why is tax revenue from illegal short-term rentals OK, but not tax revenue from illegal pot shops? One possible answer is politics. Another is pragmatism.
So, even though city leaders aren’t consistent on collecting taxes from illegal businesses, they’re at least practical. If L.A. can’t properly regulate short-term rentals, the city might as well start making money off the roughly 12,000 Airbnb hosts renting out their homes illegally.