Tourists looking for Paris luxury apartment rentals or vacation homes on Airbnb will soon be paying a little bit extra.
Because of regulations imposed by the French government, guests who book their rentals on Airbnb will have to pay a tax for tourism.
According to TheVerge.com, Paris is the number one destination for Airbnb guests. The site currently has more than 50,000 listings featuring French homes and apartments available for rent by travelers.
Airbnb itself will collect the tax, rather than forcing hosts to take it out of their earnings themselves. The tax, which goes into effect on October 1, will also bring in more tourist money to the city.
But before anyone cancels that trip to the city of love, though, know that the tax is fairly small: just €0.83, or $0.96 USD. This will appear on customers’ bills under the category of “meublés touristiques non classés.”
“This nominal tax will have little to no impact on the volume of tourists who visit Paris,” says Alley Bradley, Managing Director, Paris Copia. “The dollar is still strong but regardless, the City of Light will always attract visitors, even if it costs them a little bit more.”
Right now, this particular tax will only apply to tourists who travel to Paris, but French authorities will gradually extend it to other cities around the country, according to a press release by Airbnb.
However, Paris isn’t the only major destination that charges a tax for tourism. Airbnb also collects taxes in Amsterdam and pays the city on behalf of hosts; in the U.S., they perform a similar service in Portland, Chicago, and San Francisco.
Airbnb is currently valued at around $25 billion, and Europe represents its biggest market. But the company has clashed with authorities over income taxes owed by hosts and other regulations surrounding the rental industry.
Airbnb has also run into trouble with regulators in New York City, who accused the company’s services of driving up rents in the area. The company also lobbied to change laws prohibiting short-term apartment rentals in some New York City buildings.