Taxes & Fees: Mission Viejo vs Newport Beach

Does Mission Viejo charge a short-term rental tax?

No. Mission Viejo does not have an STR tax because short-term rentals are not permitted in residential zones. No permits are issued.

Do I still owe taxes if I rent my Mission Viejo home on Airbnb?

Yes. Even though the rental is unauthorized, you owe state and federal income tax on rental income and may owe transient occupancy tax for stays under 30 days.

Does paying taxes make my Mission Viejo short-term rental legal?

No. Tax compliance does not override the zoning prohibition. The property remains in violation of MVMC zoning regulations regardless of tax payments.

What is the hotel tax rate for short-term rentals in Newport Beach?

The Transient Occupancy Tax is 10% of the rental amount, collected from guests for stays of 30 consecutive days or fewer under NBMC Chapter 3.16.

Does Airbnb collect the tax for me?

Airbnb may collect and remit TOT under platform agreements with the city. However, hosts remain responsible for verifying compliance and should confirm with the Finance Department.

Do I need a business license for my short-term rental?

Yes. In addition to the STL Permit and TOT registration, hosts must maintain a current City of Newport Beach business license.