New regulation for homeowners of vacation rentals

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ORANJESTAD – On May 10, 2023, the Minister of Tourism and Public Health, Mr. Dangui Oduber, met with the ATA, AHATA, Tax Department, and the Central Bank to discuss the regulations for the new vacation rental (other accommodations) permitting process, use Airbnb, Vrbo, Booking.com, and other sites.

Creating and maintaining a level playing field for all lodging businesses is essential. This discussion about vacation rental owners’ compliance is going on for many years. The trend among tourists to stay in vacation homes has increased, not only in Aruba but worldwide. In Aruba, 30% of visitors opt for a vacation rental instead of staying in a hotel.

That is why it is so crucial to regulate vacation rental companies. According to the government, a level playing field is essential for all accommodation providers in Aruba. It includes compliance with taxes such as the tourism levy, as the government wants its fair share.

he Department of Health Inspection and Hygiene of the Department of Public Health DVG will transition into a sui generis to make the permit process more efficient for all vacation homeowners. Soon all vacation rental companies will need a government-issued permit to operate as such.

The meeting was very effective. Now everyone knows exactly how many vacation homes are on offer and what percentage of them meet their obligations. The number of vacation rentals gives the government an idea of the permits required under the new regulation. The first step is to determine the policy and costs for a permit.