Tech Startups, Car Sharing See Increased Regulation

Car-sharing service Zipcar is one of various technology-based companies that have faced unexpected government regulation, according to Fox News.

Zipcar and other car-sharing services in Washington, D.C. pay $200 to $400 per space, per month, while residents pay $1.25 per month to park on the street, according to the article. Zipcar said that such policies “penalize” car-sharing providers.

Rob Weisberg, Zipcar’s chief marketing officer, said that members are taxed at the full-day rate, even though the reservation period is usually a few hours. Zipcar said that it has hired a lobbyist to work to change this tax policy.

Another example is Roomarama, in which tourists can rent an extra room from someone who might have an empty space in their apartment. But the state of New York made it illegal to rent an apartment for less than a month, which could result in an $800 fine.

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