The bill introduced by Senator Brenner seeks to amend various sections of the Revised Code to regulate short-term rental properties and enhance local tax collection mechanisms. It defines "short-term rental property" and "short-term rental platform," allowing local governments to levy an excise tax of up to three percent on lodging transactions involving both hotels and short-term rentals. The bill mandates that short-term rental platforms collect these taxes, ensuring compliance and revenue generation for local authorities. Additionally, it streamlines the licensing process for real estate brokers and dealers by requiring electronic issuance of licenses. The legislation also prohibits local governments from enacting restrictions that would limit or prohibit short-term rentals, while allowing them to impose a maximum registration fee of twenty dollars per year for enforcement purposes.

Moreover, the bill amends existing tax laws to include short-term rental properties in the definition of lodging subject to excise taxes, thereby broadening the scope of taxation. It allows counties to increase tax rates for lodging transactions to fund tourism-related projects and convention facilities, with specific provisions for revenue allocation. The bill emphasizes that all proceeds from lodging taxes must be used exclusively for tourism development, requiring approval from local convention and visitors' bureaus for any expenditure. Overall, the legislation aims to create a uniform regulatory framework for short-term rentals, enhance local tourism funding, and clarify tax obligations related to lodging transactions.

Statutes affected:
As Introduced: 351.01, 351.021, 353.06, 4735.11, 5739.01, 5739.08, 5739.09, 5739.091, 5741.01