California law gives local governments authority to require data from short-term rental marketplaces

A new California state law gives local governments explicit authority to require short-term rental (STR) marketplaces such as Airbnb and Vrbo to provide information on their STR listings to authorities. The statute went into effect on January 1, 2026.

Cities and counties can invoke Senate Bill 346 to create their own ordinances to compel “short-term rental facilitators” to provide information on each local STR property listed on their sites, including:

• Physical address
• Listing URL
• Assessor parcel number (APN)
• Unit-specific information if there’s more than one unit at an address

In jurisdictions that have passed a law based on SB 346, facilitators must include the numbers of local STR licenses and transient occupancy tax (TOT) certificates in all listings.

Cities can require marketplaces to submit reports at least quarterly, or monthly if that’s how often TOT returns are due. Cities may also audit facilitators (at the government’s expense) to ensure compliance. They can impose administrative fines for violations of up to $10,000 per day.

The state law doesn’t preempt local governments from creating laws to further regulate STRs, facilitators, or TOT. Some California cities and counties already require STR marketplaces to submit data on listings and/or include license numbers in listings. These include Los Angeles, Los Angeles County, and Monterey County.

California doesn’t have statewide STR regulations or lodging tax, leaving that to local control. California law allows cities and counties to levy TOT on accommodations that are rented out for 30 days or less. California STR operators may be required to register with local tax authorities, collect TOT from guests, and file TOT returns. The exact requirements are specific to each city or county.

Some vacation rental marketplaces collect local TOT on behalf of operators when the listing is booked. However, marketplaces don’t collect all lodging taxes in all locations, and operators are responsible for making sure they comply with tax requirements.

A growing number of state governments are requiring STR marketplaces such as Airbnb and Vrbo to collect lodging taxes when they collect payment from guests. Many states changed their requirements for STR marketplaces after 2018, when the Supreme Court overruled a long-standing physical presence rule in South Dakota v. Wayfair, Inc. The decision allowed states to require remote sellers to collect and remit sales tax.

Other states have passed laws requiring STR marketplaces to collect lodging taxes more recently, including Louisiana and Maryland. More than 30 other state tax authorities already require STR marketplaces to collect lodging taxes

Avalara MyLodgeTax can help automate and simplify tax compliance for hosts. For more on lodging taxes in California, see our state vacation rental tax guide. If you have tax questions related to vacation rental properties, drop us a line and we’ll get back to you with answers.