KANSAS CITY, Mo. — Short-term rentals in Kansas City, Missouri, could soon be taxed like hotels and motels.
The KCMO City Council voted Thursday to add two ordinances to the April 4 ballot, hoping to expand ordinances to include short-term rentals.
The current tax conundrum stems from the wording of city and state laws, which levies certain taxes only on rental properties with eight rooms or more. The city can’t charge the occupancy fee or the convention and tourism tax as it does on traditional hotels and motels due to the current language in the ordinance.
“The goal really is not simply taxation,” councilman Eric Bunch said. “The goal really is clear enforcement and consistent enforcement and making sure the 2,000 unlicensed operators are either licensed or get kicked out of the system.”
Council members introduced the ordinances in committee Tuesday. They were quickly forwarded to the full city council and passed Thursday.
The sense of urgency is aided by large events planned after the city-wide vote, including the NFL Draft.
A recent city audit found only 7% of short-term rentals are licensed in the city.
When asked about how the city plans to tax rentals that are not licensed, Bunch responded by alluding to additional ordinances in the works.
