PEI

Vacation rentals included in expanded Charlottetown tourism levy

Operators of vacation rentals in Charlottetown will have to charge the same three per cent levy on rentals next year that larger operators have been charging.

The 3% levy is used for tourism marketing

Charlottetown has one of the busiest Airbnb markets in Canada. (John MacDougall/Getty Images)

Operators of vacation rentals in Charlottetown will have to charge the same three per cent levy on rentals next year that larger operators have been charging.

Charlottetown city council has voted in favour of making the tourism accommodation levy apply to all tourism establishments. Previously it only applied to year-round operations with 10 or more rooms.

First reading of the bylaw amendment passed in April.

Coun. Kevin Ramsay, chair of the economic development, tourism and events management committee, said it took a little longer than expected, but he's glad the final bylaw amendments have now gone through.

"We wanted to have an equal playing field for everybody, and why should one person have to pay it and someone else not have to pay it?" said Ramsay.

The changes go into effect Jan. 1. The three per cent levy goes toward tourism marketing.

Charlottetown is one of the most active Airbnb markets in the country. A CBC analysis in April found about one in 50 dwellings in the city was listed for rent on Airbnb.

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With files from Laura Meader

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