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April 9th, 2024

On April 4, 2024, a decree was published in the Official Gazette of Mexico City modifying the name, and amending and adding various provisions to the Federal District Tourism Law, now known as the Mexico City Tourism Law (hereinafter the “CDMX Tourism Law”).

The CDMX Tourism Law became effective on April 5, and among its main amendments and additions was the inclusion of the Fifth Title, which contains two chapters: the first one called “Rights and Obligations of Tourists and Tourist Service Providers”; and the second one called “Temporary Tourist Stay”, as well as the definition of new concepts and figures such as “Hosts”, “Temporary Tourist Stay”, “List of Hosts”, among others.

Among the most important issues highlight, are the following:

  • The main objectives of the Fifth Title are to establish the obligations of tourism service providers through the aforementioned definitions and, in turn, to regulate the “Temporary Tourist Stay” as a service rendered in properties for residential use through the lists of hosts and technological platforms.
  • In the referred platforms, the Hosts must register and will be administered by the Secretary of Tourism of Mexico City, in order to register the Hosts and the properties through which the service is provided, which the law in question calls “Temporary Tourist Stay”, which is defined as the temporary stay in properties for residential use in exchange for a consideration.
  • It is important to point out that those hosts that register 4 or more properties must have a commercial establishment code and comply with the Law of Commercial Establishments in Municipalities of Mexico, particularly must have an operating license.

The foregoing provides, on one hand, certainty to tourists regarding the main rights over the service they will contract (prices, rates, etc.) as well as the rules of use of the property and, on the other hand, the establishment of the payment of contributions to be paid by the Host and the obligation to submit a semiannual report to the Secretary of Tourism of Mexico City with the activity of occupation of the properties.

It is important to consider that anyone who operates, manages or is an intermediary of a Technological Platform is considered jointly and severally liable with the Hosts with respect to the payment of: (i) penalties related to the provision of the service; and (ii) lodging tax.