Is Airbnb legal in Hong Kong?
Airbnb operates in Hong Kong, but hosting short-term rentals through the platform is subject to strict local regulations. Under the Hotel and Guesthouse Accommodation Ordinance (Chapter 349), any property offering accommodations for periods shorter than 28 consecutive days must possess a valid hotel or guesthouse license. Operating without this license is illegal and can result in severe penalties, including fines up to HKD 200,000 and imprisonment for up to two years.
Key Considerations for Hosts:
Licensing Requirements: Before listing a property on Airbnb for short-term stays, ensure you have obtained the necessary license from the Home Affairs Department's Office of the Licensing Authority. This process involves meeting specific building and fire safety standards.
Building Regulations and Agreements: Review your property's Deed of Mutual Covenant and any mortgage agreements to confirm that short-term rentals are permitted. Non-compliance can lead to legal disputes or financial repercussions.
Tax Obligations: Income derived from short-term rentals is subject to taxation. Hosts must declare this income under property tax, levied at 15% of net rental income, and may also be liable for personal income tax, typically at 15%.
Guidance for Guests:
While Airbnb listings are available in Hong Kong, many may not comply with local licensing laws. Staying in unlicensed accommodations can pose safety risks and potential legal issues. It's advisable to verify whether a listing has the appropriate license before booking. Alternatively, consider licensed hotels, guesthouses, or serviced apartments that adhere to local regulations.
In summary, while Airbnb operates in Hong Kong, both hosts and guests must navigate and comply with stringent local laws to ensure a legal and safe experience.