Not yet. The Aruban government is in the final stages of approving legislation that will require all vacation rental property owners to obtain a registration number. This initiative is part of a broader effort to promote fairness and uphold quality standards in the vacation rental market. The new law will introduce an annual registration or permit fee, with all applications processed digitally.
A newly established entity, likely under the revised Department of Inspection and Hygiene, will be responsible for overseeing vacation rentals to ensure compliance with hygiene and safety regulations. This regulatory framework aims to create a level playing field for all accommodation providers while integrating the vacation rental sector more effectively into the local economy and ensuring adherence to tax and legal requirements.

In Aruba, the need for permission from landlords, local councils, or neighbors to operate short-term rentals depends on local regulations and lease agreements. Key considerations include:

1. Landlord Permission: Renters must review their lease agreements for clauses on subletting or operating short-term rentals, as many leases restrict or prohibit such activities without the landlord's explicit consent. Violating these terms can lead to legal issues.  
2. Local Council Regulations: Municipalities may require property owners to register or obtain a license for short-term rentals, often involving zoning requirements. Compliance is essential to avoid fines or permit revocation.  
3. Neighborhood Approval: Homeowner associations (HOAs) or similar groups may impose additional rules, such as limits on guest numbers, parking, or stay durations, which can be stricter than local regulations.

Understanding and adhering to these requirements is crucial for legally operating short-term rentals in Aruba.

Yes, income generated from short term rentals popularly known as timeshares are subject to the various taxes that applies specifically to timeshare resorts and their owners:

• Special Accommodation Tax (BBV) – Timeshare Owners:
  • Rate:
    • Studio: $10 USD per stay (Afl. 17.90)
    • One-bedroom: $15 USD per stay (Afl. 26.85)
    • Two-bedroom or larger: $25 USD per stay (Afl. 44.75)
  • Applies to:
    • Non-resident timeshare owners staying in their unit
    • Timeshare exchange guests who use another owner’s timeshare
  • Exemption:
    • Aruban residents registered in the population registry
• Ground Tax (Annual Property Tax):
  • Rate: 0.6% of the property’s real estate value
  • Applies to: All property owners, including non-residents who own real estate in Aruba
  • Compliance Requirement: Property value changes must be reported to avoid penalties
• Personal Income Tax (For Rental Income):
  • Applies to: Timeshare owners who rent out their units
  • Deductible Expenses: Some property-related expenses are deductible, but major renovations are not deductible.

Tax Compliance & Payment

• Where to File & Pay:
  • BOi (Belastingdienst Online impuesto) Portal - www.impuesto.aw
  • Deadlines:
    • Monthly tax returns must be filed within 15 days after the end of the reporting month
    • Late filing penalties: Up to Afl. 2,500
    • Late payment penalties: Up to Afl. 10,000
• Payment Methods:
  • Bank transfer (must include reference number for correct processing)
  • The date the payment is credited to the tax office’s account is the official payment date
• Non-Compliance Risks:
  • Fines, penalties, and potential legal consequences, including criminal charges

Yes, there are tourist taxes that apply to guests staying in short-term rentals, hotels, or other accommodations:

• Tourist Levy (TH):
  • Rate: 12.5% of the nightly rental rate
  • Applies to: Tourists renting short-term accommodations, including vacation rentals and hotels
  • Exemption: If the property is used as a primary residence, this tax does not apply
• Special Accommodation Tax (BBV) – Hotel & Short-Term Rental Guests:
  • Rate: $3 USD per night per occupied room
  • Applies to:
    • Guests in hotels, short-term rentals, and vacation homes
    • Guests staying in timeshare resorts who do not own a timeshare
  • Exemptions:
    • Residents of Aruba who are registered in the population registry
• BBO (Sales Tax):
  • Rate: 7%
  • Applies to: Additional services like breakfast, housekeeping, or other amenities provided during the stay
  • Exemptions:
    • If the property is the owner’s primary residence.

Currently, there is no general requirement for short-term rental (STR) operators in Aruba to register and report guest information to national authorities like immigration or local police. This means hosts are not typically required to provide guest lists or personal details to the government solely for operating STRs.

However, there are a few important considerations:  
Standard immigration laws apply. All visitors must comply with requirements such as having a valid passport and appropriate visa (if required), which are collected at entry by immigration officials. In specific cases, law enforcement may request guest information as part of an investigation, and hosts are legally obligated to cooperate. Additionally, Aruba is in the process of implementing new STR regulations, which may include guest registration or reporting requirements. Hosts should stay informed about any legislative changes.

It is important for hosts to keep guest information in case it is needed by authorities as vacation rental laws in country is still being developed.

In Aruba, vacation rental operators must adhere to the national health and safety standards outlined by the "Aruba Health & Happiness Code." This certification program mandates that all tourism-related businesses, including vacation rentals, comply with stringent health and safety protocols to ensure a safe environment for both guests and employees. The Department of Inspection and Hygiene, under the newly formed AQHA, is tasked with conducting inspections and ensuring compliance with these standards, which cover aspects such as sanitation, emergency readiness, and general safety. Key aspects of this program include rigorous sanitation protocols, requiring businesses to follow strict guidelines on cleanliness and hygiene, which are essential for receiving the Health & Happiness Code certification. Properties must undergo an online assessment and a subsequent on-site audit by the Department of Inspection and Hygiene to receive and display the certification seal. Once certified, businesses are subject to periodic reviews to ensure ongoing adherence to the required standards. This initiative is part of Aruba's broader efforts to provide a secure and clean experience for visitors, encompassing everything from their arrival at the airport to their accommodations and activities on the island.

Yes, Aruba has established platform accountability requirements for short-term rentals (STRs) to ensure a fair and regulated market among all lodging businesses, including vacation rentals and hotels. The government has emphasized the importance of creating a level playing field, necessitating compliance from platforms like Airbnb, Vrbo, and Booking.com with local regulations, including tax and health standards. Key points include platform responsibilities, where online platforms facilitating vacation rentals are expected to ensure their listings comply with local regulations, including accurate reporting of rental activities and adherence to tax obligations. Platforms are also responsible for ensuring property listings have the necessary permits and meet required safety and hygiene standards as mandated by local authorities. Additionally, there is an expectation for platforms to cooperate with local authorities, possibly including data sharing, to assist in regulatory and tax compliance enforcement. These measures are part of Aruba's broader efforts to regulate the vacation rental sector, which includes the establishment of the Aruba Quality & Hospitality Authority to oversee and enforce these regulations.

Yes, Aruba has laws in place to combat discrimination, including within the realm of short-term rentals. The Aruba Criminal Code explicitly prohibits discrimination and acts that incite hatred and violence based on several characteristics. These characteristics include sexual orientation and gender identity, although the code likely encompasses other common grounds for discrimination such as race, color, religion, national origin, disability, age, and sex. This broad legal framework is designed to protect individuals from discriminatory practices in various sectors, including housing and employment

Additionally, the global standard for online platforms like Airbnb reinforces these principles. Airbnb, for example, requires all users to comply with local laws and regulations, including anti-discrimination laws. They have established policies to combat discrimination and provide a more inclusive service.

Short-term rental platforms operating in Aruba may be subject to data-sharing mandates with national government authorities, especially concerning tax compliance. The collaboration between the AQHA and the Tax Authorities highlights an integrated approach to compliance, where data exchange is crucial for effective regulation and monitoring of the vacation rental market. This ensures that hosts fulfill their fiscal and operational responsibilities.

While there are no National insurance requirements, Hosts of short-term rentals in Aruba are advised to maintain liability insurance to cover potential damages or liabilities that may occur during a guest's stay. While not explicitly mandated by all regulations, having adequate insurance is considered a best practice and is critical for protecting both the host and the guests. It is also part of broader risk management strategies recommended by property management experts in the region.

Yes, Aruba has established national zoning laws and regulations dedicated to cultural heritage protection. The Planning and Zoning Ordinance (2006) and the subsequent development plan (2009) provide clear guidelines for zoning and land use to prevent undesirable developments and preserve culturally significant areas, ensuring aesthetic and historical integrity. Compensation mechanisms are available for affected property owners. Additionally, Law No. 2 on National and Local Monuments safeguards tangible and intangible heritage, supported by a broader legal framework and international treaties like those from UNESCO. These efforts aim to protect and promote cultural heritage as fundamental to national identity and social cohesion.

Environmental regulations affecting short-term rentals in Aruba focus on sustainability practices. These regulations encourage or sometimes require STR properties to implement measures that reduce their environmental impact. This includes waste management, energy use, and water conservation practices, aiming to minimize the ecological footprint of tourism-related activities.

Aruba's approach to tenant protection in the context of short-term rentals aims to balance the needs of local residents with the benefits of tourism. While specific laws protecting long-term tenants from eviction for conversion to short-term rentals are not detailed, general housing laws provide safeguards against unfair eviction practices. Key aspects of tenant protection include:

Lease Agreements: Written agreements clearly outlines the terms such as rent, lease duration, maintenance responsibilities, and termination conditions, and the conditions in the agreement cannot be altered at will. Verbal agreements, though valid, are less secure.

Tenant Rights: Tenants have the right to habitable premises, ensuring the property is safe and structurally sound. They also have the right to quiet enjoyment and protection against unlawful eviction, requiring landlords to follow legal procedures. Rent increases are regulated to prevent arbitrary hikes.
The Lease Commission (Huurcommissie) mediates disputes between landlords and tenants, handling issues such as rent, repairs, and lease termination. Fixed-term leases usually end automatically, but if tenants wish to extend, landlords may need Lease Commission approval to terminate. For indefinite leases, termination requires a notice period, either as specified in the agreement or determined by law.
These measures help ensure fair treatment for tenants while addressing the challenges posed by the short-term rental market.

In Aruba, short-term rental operators are not currently mandated to report information about foreign guests to national immigration authorities. The responsibility for providing necessary entry information lies with the guests themselves, who must complete the Embarkation and Disembarkation (ED) Card prior to arrival, including personal details and travel information. This process is managed directly between the traveler and Aruban immigration authorities. However, regulations can change, and the Aruban government has been working on regulating vacation rentals to create a level playing field in the tourism sector. While specific requirements for reporting guest information are not currently in place, operators should stay informed about potential regulatory changes.

While there are no specific platform accountability requirements in place yet, the upcoming regulations in Aruba suggest a move towards greater platform involvement in ensuring compliance. It is likely that platforms will be expected to verify listings, potentially handle tax collection, and possibly share data with authorities in the future. Platforms might be required to verify that listings have the necessary registration numbers or permits before they can be published. There could also be requirements for platforms to collect and remit tourist taxes or other applicable taxes on behalf of hosts, similar to agreements in other jurisdictions. Additionally, future regulations might include mandates for platforms to share data with Aruban authorities for monitoring and enforcement purposes.

Aruba enforces consumer protection laws that ensure short-term rental agreements meet fair trading standards. These laws protect consumers by ensuring that STR listings are described accurately and that all charges and fees are transparent. This includes clear communication of cancellation policies, security deposit requirements, and any additional fees. Consumer protection in the STR sector is crucial for maintaining trust and fairness in the tourism industry.

The core regulations for operating STRs in Aruba apply equally to resident and non-resident owners. However, non-residents have additional considerations related to tax filing, potential tax implications in their home country, immigration regulations, and property management. These owners must ensure that their properties comply with local zoning laws, health and safety standards, and tax obligations. Non-compliance can result in fines, legal action, and potential restrictions on rental activity.

Aruba does not have a stringent classification system for short-term rentals as of the latest updates. However, the focus has been on ensuring that all forms of accommodations, the Aruban government is in the process of finalizing its first comprehensive regulation law for vacation rentals. This new legislation aims to create a more level playing field among lodging providers by introducing a mandatory registration system for all vacation rentals, implementing an annual registration fee, and establishing hygiene and safety standards. whether vacation homes or hotels, meet certain standards and regulations to maintain quality and fairness in the tourism sector. This approach helps maintain a balanced and competitive market, catering effectively to the diverse needs of international visitors.

While specific regulations pertaining to national events or holidays affecting short-term rentals in Aruba were not explicitly mentioned, it is common for jurisdictions to impose additional regulations during significant events. These can include stricter noise regulations, security measures, and temporary restrictions on rental durations to manage increased demand and ensure public safety.

Yes, there are penalties for violating national rules regarding short-term rentals in Aruba. These violations primarily relate to non-compliance with registration, tax, and safety regulations newly established or being finalized for the vacation rental market. While specific penalty amounts are not detailed, the regulations are aimed at ensuring fair competition among lodging providers and adherence to tax and safety standards.
The Aruba Quality & Hospitality Authority (AQHA) will oversee the registration and licensing of vacation rentals, ensuring compliance with hygiene and safety standards. Non-compliance with these regulations can lead to financial penalties, and continuous violations might further lead to more severe consequences, including potential legal actions to enforce the regulations, According to Grant Thornton Aruba, failure to notify the Tax Authorities could result in a fine equivalent to 100% of the ground tax due. While this refers to ground tax, it illustrates the potential severity of tax-related penalties.
For operators of short-term rentals, it's crucial to comply with these regulations to avoid fines and to ensure the legality of their rental operations. If you need more specific information on penalty amounts or how they are applied, it might be beneficial to consult directly with local authorities or a legal advisor knowledgeable in Aruban property law.