Gibraltar short-term property rentals: Register of Property Occupation (Amendment) Act 2024

The Gibraltar Parliament approved legislation, on 18 December, to amend the Register of Property Occupation Act 2021 to regulate short-term letting in Gibraltar, whether through an online short-term rental platform or other means.

The amending legislation is designed to balance tourism growth with regulatory compliance and introduces the following key additions and requirements:

• Definitions and Scope: The Amendment Act defines the terms ‘accommodation’, ‘guest’, ‘host’, ‘short-term rental property’, ‘online short-term rental platform’, ‘business purposes’ and ‘tourism purposes’. It limits short-term accommodation rental services to 30-day stays, primarily for tourism or business purposes, stipulating that a guest may not use the accommodation as their only or principal home.
• Host Obligations: Hosts are required to notify the Registrar before advertising or renting short-term accommodation, providing specific details about their properties. This step aims to maintain a comprehensive registry for better oversight.
• Annual Returns and Fees: Hosts must submit annual returns detailing guest numbers, stay durations and total revenues, helping maintain transparency in the sector. The Amendment Act also specifies that a sustainable tourism fee will be applied to rentals, further supporting Gibraltar’s tourism infrastructure.
• Registrar’s Role and Enforcement: The Registrar has the authority to approve, conditionally approve or reject property notifications based on compliance. In cases of non-compliance or misinformation, the Registrar can remove properties from the Register. Additionally, hosts are liable to fines for failing to comply with notification requirements or providing false information.
• Information Sharing and Exemptions: Information collected may be shared with tax authorities and other government departments. The Minister can also exempt certain properties or hosts from these requirements if deemed necessary for Gibraltar’s public interest.
• Sustainable Tourist Fee: A fee will be levied on short-term rentals under the Licensing and Fees Act to promote sustainable tourism.

What’s next?

Sovereign Tax Services in Gibraltar specialises in assisting individual landlords of Gibraltar property with their Gibraltar tax compliance obligations. We appreciate that keeping up to date with such compliance can be challenging, particularly if the landlord lives outside of Gibraltar.

Sovereign Tax Services has the expertise to ensure that such tax compliance obligations are dealt with efficiently.  If any short-term property landlords would like assistance with these new regulations, please get in contact.