New Tax on Airbnb Rentals in Ottawa

As of August 1, 2018, Airbnb rentals in Ottawa will be subject to a 4% tax that will be collected by Airbnb and remitted to the City of Ottawa. The tax will apply to any rentals less than 30 days in duration, and the collected funds will be used to support tourism in the Ottawa region. The tax was originally imposed in January 2018 and applies to all short-term rentals in Ottawa, including those booked through Airbnb. The tax classification shows that the City considers short-term rentals of private homes to be similar to hotel use. The language in the declaration of many condominium corporations prohibits the use of units for short-term rentals, including rentals through Airbnb.