Last Updated on December 29, 2022 by Elizabeth
Renting a car from Turo, the popular peer-to-peer car-sharing platform? Think twice about picking up a vehicle at an airport.
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Airports Crack Down on Car-Sharing
It’s happening at Orlando International Airport, San Francisco International Airport and airports across the country. Airport authorities are cracking down on Turo and other car-sharing properties for operating businesses on airport property. In some cases, police have swooped in with citations in hand just as renters were picking up cars.
In general, statehouses across the country are considering legislation that would affect peer-to-peer car-sharing. And experts predict that number could rise to nearly 30 states by next year.
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Tax Disputes
As you might expect, this dispute boils down to money. Airport authorities argue that peer-to-peer companies should pay the same taxes and fees as car rental companies do. After all, car rental companies have concession agreements with airports that require paying a percentage of airport-related revenue to the airport. These payments help airports defray costs for infrastructure such as parking garages.
In addition, car rental companies point out that having to pay airport concessions puts them at a competitive disadvantage. For example, every car rented at Orlando International Airport carries a $2.50 a day tax. That brings the total of rental car surcharges to $4.50 per day plus 6 percent sales tax.
But Turo argues that its car owners shouldn’t pay similar fees because they do not keep vehicles at the airport.
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While this gets resolved, it may be smarter to choose non-airport locations for Turo exchanges to avoid any potential hiccups.
Stay tuned.
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