Baja California Sur tourism officials have launched a major enforcement effort targeting illegal lodging operations and tax evasion linked to short-term rental platforms such as Airbnb and Booking.com.
Maribel Collins Sánchez, secretary of Tourism and Economy (SETUE), announced the initiative during the state government’s “People’s Press Conference” on June 11. The campaign, conducted in coordination with the state Finance Ministry, aims to regulate informal accommodations and ensure compliance with lodging tax requirements.
According to state officials, Los Cabos ranks sixth nationally in the number of Airbnb listings, while La Paz ranks 13th. The growing presence of short-term rental properties has prompted authorities to increase audits of digital platforms and individual property owners.
Targeting Tax Evasion and Informal Operations
Tourism officials said the issue has been compounded by foreign residents running informal lodging businesses that compete with licensed hotels and tourism operators. Authorities allege that some property owners rent rooms or entire homes without paying lodging taxes and, in some cases, offer added services such as airport transportation, sport-fishing excursions and guided tours without the required permits or tax registrations.
To address the problem, the administration of Gov. Víctor Castro is in discussions with executives from Airbnb, Booking.com and other digital platforms. State officials are seeking agreements that would require platforms to collect and remit applicable lodging taxes directly to the state treasury.
“The platforms have been approaching us, and we’re referring them to the finance department,” Collins said. “It’s an issue that falls under the purview of the finance department because they’re conducting inspection operations, not just on the platforms but also on individuals.”
Officials said revenue generated through improved tax compliance would support tourism infrastructure and urban development projects across the state.
Investment Growth and Infrastructure Priorities
The enforcement effort comes as Baja California Sur experiences continued economic growth and increased foreign investment. According to figures from Mexico’s federal Ministry of Economy, the state ranked fourth nationwide in foreign direct investment during the first quarter of 2026, attracting approximately $10.9 million US.
To help manage that growth, state and local authorities have formed an investment committee led by business representative Lorena Hinojosa. The committee works with federal, state and municipal agencies to coordinate development planning.
State officials said lodging tax revenues are allocated to tourism infrastructure projects administered through local trusts. SETUE is currently reviewing municipal proposals, with priority projects including the renovation of the Historic Center of San José del Cabo, upgrades to tourist areas in Cabo San Lucas and construction of a new public highway.
Authorities said the projects are intended to address increasing pressure on public infrastructure resulting from rising tourism activity.
The state has also expanded inspections to northern municipalities, where officials reported discovering similar tax-evasion practices in Loreto’s real estate market.
Officials emphasized that both domestic and foreign investment remain welcome but stressed that future development must protect natural resources, support sustainable growth and comply with water-use regulations administered by agencies such as Oomsapas.
The local authorities and your publisher should post a whistle blower or complaint email to turn in these non tax payers, I know many in my building breaking the rules, when good citizens paying their share.