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San Jose Considers Tax, Regulations For Airbnb And Other Short-Term Housing Rentals

SAN JOSE (KCBS)— San Jose is the most recent city to consider slapping a hotel tax on short-term rentals from websites like Airbnb, but the city maintains it's not trying to discourage the "shared economy".

As an increasing number of people decide to list their extra rooms on Airbnb, cities are struggling with how to regulate them.

There are currently more than 300 short-term residential rentals in San Jose, but they're not allowed and are technically illegal according to the city's Economic Development Director Kim Walesh.

She said the city's hotel occupancy is pushing 85-percent and that they need more rooms especially for big events like the Super Bowl.

San Jose Considers Tax, Regulations For Airbnb And Other Short-Term Housing Rentals

"There are times when lots of people want to come in here and stay and spend money in our community and quite frankly we don't have the hotel rooms to accommodate them," she said.

Next month the city council will consider a short-term rental ordinance, which includes charging a 10-percent hotel tax.

Keith Washo, a San Jose AirBnB host, is opposed to that idea.

"The easy answer is I'd like them to stay out of it. Stay out of Airbnb's hair and let them run their business and try and be successful,"

The regulation would also limit the number of days that a home-share host can have a guest staying with them.

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