Aiming to boost funding for infrastructure improvements in Los Cabos, several tax rates are set to rise. The lodging tax will double to US $3.75 per night; taxes on Airbnb and similar platforms will surge by 600% to US$20 a night; and new daily taxes will be introduced on car rentals, sports fishing boats, and tours at $2.75. Additionally, the acquisition tax will increase from 2% to 3%. As of now, property taxes remain unchanged.
This increase was approved by the Los Cabos City Council in agreement with local business organizations, who have urgently called for actions to enhance basic public services such as water supply, sewage treatment, garbage collection, paving, street lighting, and improvements to the overpass at the Fonatur roundabout, among others. The tax hike is anticipated to generate an additional US $50 million annually, which will be managed jointly through a trust between the city government and the business organizations.