The collaborative economy is an economic model in which a host company provides an online-enabled platform to connect consumers with goods and services offered by private individuals or entities (also referred to as shared economy). Any person or entity that utilizes a hosted online platform to obtain payment for goods or services must comply with business tax requirements. Common types of platforms include, but are not limited to:
AirBnB, HomeAway, onefinestay, and AE Hospitality are a few of the several online marketplaces that enables people to list, search and book rental accommodations. These specific online marketplaces have agreed to collect and remit TOT on behalf of property owners within the City of Los Angeles who utilize their services. Some property owners may use other online marketplaces in addition to the ones listed here. Please be advised that these services will only collect and remit TOT for transactions processed through their services and will not collect and remit TOT for other online marketplaces or for rental fees collected directly by the property owner.
Per California State Senate Bill 182, drivers for rideshare services need only register and pay taxes within the city they reside and if they drove more than 30 days the prior calendar year. If you reside within the City of Los Angeles, and are a driver for a rideshare service, and drove for more than 30 days the prior calendar year then you would need to register with the City. If you reside outside of Los Angeles city limits, then you are not required to register with the City of Los Angeles.
You can register on-line or by visiting one of our service centers. Please click any of the links below.