Airbnb has revolutionized the way people travel and rent properties around the world. By allowing anyone to offer their home or apartment to tourists, it created new opportunities… and also new challenges for cities and communities.
What Impact Has Airbnb Had?
The main benefits include greater access to affordable lodging, additional income for local families, and the revitalization of tourism in less popular areas.
However, concerns have been raised about rising rental prices for permanent residents, reduced housing availability, and tax evasion. In some cities, Airbnb has also been linked to gentrification and the erosion of neighborhood identity.
Which Countries Have Started Regulating Airbnb?
In response, many cities around the world have created regulations to limit the impact of short-term rentals. Some notable examples include:
• Barcelona: bans short-term rentals in the historic center.
• Paris: 120-day yearly rental cap and mandatory registration.
• New York: requires a license and bans rentals under 30 days without owner presence.
• Buenos Aires: mandates registration as a tourism provider.
Costa Rica: What the Law Says About Short-Term Rentals
Since 2021, Costa Rica requires all individuals or companies offering short-term tourist rentals to register as providers with the Costa Rican Tourism Institute (ICT), as per Law No. 9742 and Executive Decree No. 43154.
Additionally, they must register with the Tax Administration (Hacienda), issue electronic invoices, and file regular tax returns.
Starting in 2026, this information will be automatically shared with other authorities under the Multilateral Agreement for the Exchange of Information on Digital Platforms.
Foreigners who do not reside in Costa Rica and rent out properties must also comply with these requirements, including obtaining a Special Tax Identification Number (NITE).
How Can ERP Lawyers Help?
Our legal team provides comprehensive guidance so you can operate your rental property legally in Costa Rica.
If you own a short-term rental, avoid penalties and start operating legally today. Contact us and we will handle your property registration —for locals and foreigners alike— as well as the required tax filings.
