A Bill which amends the Register of Property Occupation Act 2021 was recently enacted as the Register of Property Occupation (Amendment) Act 2024 (“the Act”) to regulate short-term rental properties in Gibraltar.
Short-term rental accommodation services are described in the Register of Property Occupation (Amendment) Bill 2024 as “the short-term letting of accommodation, through an online short-term rental platform” such as Airbnb, “or any other means” in respect of which all of the following criteria must be met:
– the service is entered into for monetary payment or any form of consideration;
– the guest does not use the accommodation as their only or principal home;
– the accommodation must not be shared with the host for the principal purpose of advancing the guest’s education;
– the service is provided exclusively for tourism or business purposes; and
– the service must not be provided for a period exceeding 30 days per stay.
Property owners offering short-term rentals will now need to be registered and inspected before advertising their properties. Hosts of short-term rentals which were rented prior to the commencement of the Act, must also notify the Registrar within three months of the commencement of the Act. This measure aims to guarantee that all guests staying in these properties receive safe and high-quality accommodation, and hosts are properly accounting for their rental income. There will also be a registration fee involved, the amount of which has not yet been confirmed.
The Registrar is the person who is appointed by the Minister pursuant to section 6 of the Register of Property Occupation Act 2021.
Hosts who fail to allow for an inspection and/or in respect of the notification to the Registrar provides knowingly false information will be guilty of an offence and are liable on summary conviction to a fine up to level 4 on the standard scale.
Hosts of short-term rental accommodation services shall notify the Registrar of their service, who may approve, approve on a temporary basis, approve subject to conditions (whether temporary or not), reject the property’s use for such services or request further information. There is also an appeals process if a property is rejected.
Every host must submit a return to the Registrar, which shall contain details of the number of guests, the length of stay of each of the guests and the total revenue received. The Registrar may share this information with the Income Tax Office.
