NetChoice Concerns with Baltimore City Mandates on Short Term Rental Platforms

NetChoice Concerns with Baltimore City Mandates on Short Term Rental Platforms

Americans Believe Online Platforms Empower Business Advertising and Community Engagement

Our data shows that Americans see the growth of online platforms has had a positive impact on the economy. Online platforms have not only allowed businesses of every size to reach potential customers nationwide, but also to advertise to them intelligently based so that they can reach the sort of customers more likely to buy their products. For many businesses, this has enabled them to thrive rather than just survive.

Consumers have benefitted too. Greater competition, innovation, and a reduction in the information gap has all been enabled by online platforms. With their help, an ideal purchase is only a click away.

58% of Americans, and 73% of those between 18 and 24 years old, say online platforms helped them discover a small business they had not previously known.

Online platforms haven’t just benefited commerce, either. 72% of Americans said that online platforms have enabled them to be in better touch with their community.

Over three quarters of Americans (77%) believe that the ability to place digital ads on these platforms is valuable to small businesses. This benefit extends to the wider economy too, with 70% of Americans believing that digital advertising is valuable to the national economy.

Evidently, Americans value their access to online platforms and the advertising services they provide. Politicians should avoid passing regulations that risk undermining every the benefits of the internet at every layer of society – from how individuals interact with their local community, to the viability of small businesses, to the wider economy.

Online platforms have become a vibrant and important component of our economy and society.

City Council Making Too Many Wrong Mistakes

City Council Making Too Many Wrong Mistakes

As Yogi Berra would say, “It is Deja’ Vu all over again.”

At every turn, the New York City Council sides with the taxi cartels to the detriment of citizens outside of the heart of midtown Manhattan. This week was no different as the City Council voted to place a moratorium on new vehicle licenses for ridesharing services like Uber and Lyft.

Read more on our medium page.

Don’t Let NY City Stay in Bed with Hotel Conglomerates

Don’t Let NY City Stay in Bed with Hotel Conglomerates

Imagine having city inspectors knocking on your door with a warrant to enter your home and fine you $8,000. The crime? Renting out a room as a short-term rental without hotel-level fire alarm and sprinkler systems, elevator access, and a host of other absurdities.

[Read more]

NetChoice Releases Policy Note on Car Rental Handouts

Last week, alongside the publishing of this article on The Drive, NetChoice released a new policy note, examining the large handouts big rental car companies receive.

The note shows that car rental companies receive a national yearly total of over $3 billion in tax breaks.

The note also provides data showing how much rental car companies received in sales tax exemptions in 2016.

Unlike car rental companies, people who use apps like Turo to lease out their cars do not enjoy these tax breaks

Ignoring this multi-billion dollar tax break, car rental companies claim that peer-to-peer car sharing platforms like Turo are the same as car rental companies.  Big car rental companies are using “level playing field” rhetoric to justify calls for stiff regulations onto peer-to-peer car platforms designed to skew in favor of big rental.

Read the full policy note here, and take a look at press coverage on its findings by Reason Magazine and The Drive.

The Drive - Major Rental Car Companies Want Car Sharing Services to Be Equally Regulated

“Turo hosts have an economic disadvantage compared to giant rental car companies. NetChoice estimates that rental companies avoid paying $3.2 billion annually in state sales taxes, while Turo estimates that [its] hosts have paid over $450 million in state sales taxes when they purchased their personal vehicles,” Michelle Peacock, VP and Head of Government Relations at Turo told The Drive.

Chicago Business - Your neighbor isn't a business

There are benefits to being a traditional car-rental company that platforms like Turo don’t have. Traditional car-rental companies get all of what they charge for renting a vehicle. On Turo, the bulk of the money goes to the car owner and the platform only gets a small portion of the fee. Traditional car-rental companies get millions in tax subsidies, grants and federal bailouts. Individual car owners don’t. In fact, NetChoice estimates that rental companies avoid paying $3.2 billion annually in state sales taxes, while Turo estimates that its hosts have paid over $455 million in state sales taxes when they purchased their personal vehicles.

New York City Passes Short-Term Rental Bill, Outsourcing Legal Enforcement Burden to Internet Platforms Like Airbnb, Homeaway & VRBO

Rules Will Imperil Short-Term Renters from Springfield Gardens to Hell’s Kitchen

NEW YORK, July 18, 2018 – The future of short-term rentals (STRs) throughout New York City was put at risk today by New York City Council’s passing of Int. 9081 placing legal enforcement responsibilities on Internet home sharing platforms like Airbnb, HomeAway and VRBO.

 

The proposal would:

  • place a minimum fine of $1,500 on STR platforms every time a property owner makes inaccurate claims on a short-term rental post regardless of intention;
  • require platforms to obtain, manage and certify that every property owner is abiding by local jurisdiction or homeowners association rules;
  • require short-term rental platforms to share all private transaction data, such as bank account numbers, with government agencies.

 

“New York City risks the sensitive financial data of its residents and tourists by forcing them to hand over bank account numbers to government agencies,” said Carl Szabo, vice president and general counsel at NetChoice.

“The city’s latest anti-tech action threatens New Yorkers’ privacy and financial security, forcing many to choose between protecting their financial information and paying their mortgage.”

“New York is once again going after short-term rentals by mandating hefty requirements on platforms, many of which could be illegal,” continued Szabo. “The City Council’s proposed rules would burden New Yorkers who use STR platforms to help make ends meet.”

 

About NetChoice

NetChoice is a trade association of eCommerce and online businesses that share the goal of promoting convenience, choice, and commerce on the net.