The Canadian government is considering tax changes for short-term rentals to make services like Airbnb (ABNB.O) less lucrative in an effort to increase the supply of homes, Housing Minister Sean Fraser said on Monday.

Prime Minister Justin Trudeau's Liberal government is under pressure to tackle a housing crisis, and Fraser said tens of thousands of homes could be made available to Canadians by cracking down on short-term rentals.

Critics of Airbnb have raised several concerns and criticisms over the years. Some of the common criticisms include:

1. Impact on Housing Affordability: One major criticism is that Airbnb may contribute to a shortage of long-term rental properties in certain areas, leading to increased housing costs. Critics argue that property owners may find it more profitable to rent their properties on a short-term basis through Airbnb rather than offering them to long-term residents, thereby reducing the housing supply for local communities.

2. Gentrification: Airbnb has been accused of contributing to gentrification in some neighborhoods. As short-term rentals increase, property values may rise, leading to the displacement of long-time residents who can no longer afford to live in the area.

3. Regulatory Challenges: Airbnb has faced legal and regulatory challenges in various cities and countries. Critics argue that the platform may facilitate illegal short-term rentals, bypassing local zoning laws and regulations. This has led to clashes with local governments and hotel industries.

4. Quality and Safety Concerns: Critics have raised concerns about the quality and safety of accommodations listed on Airbnb. Issues such as unregulated standards, lack of consistent safety measures, and inadequate background checks on hosts have been cited as potential risks for guests.

5. Negative Impact on Hotels: The hotel industry has been a vocal critic of Airbnb, claiming that the platform provides unfair competition. Hotels are subject to various regulations and taxes that may not apply to Airbnb hosts, giving the latter a competitive advantage.

6. Community Disruption: Some argue that the influx of short-term renters can disrupt the sense of community in residential neighborhoods. The constant turnover of visitors may lead to a lack of familiarity and connection among residents.

7. Taxation Issues: Airbnb has faced criticism for potential tax avoidance and lack of transparency in reporting rental income. Some jurisdictions have implemented or considered regulations to ensure that hosts pay the appropriate taxes on their rental income.

8. Discrimination: There have been reports of discrimination on the Airbnb platform, where hosts allegedly refuse to rent to guests based on race, gender, or other discriminatory factors. Airbnb has taken steps to address these issues but continues to face criticism in this regard.

It's important to note that while these criticisms exist, Airbnb has also made efforts to address some of these concerns through policy changes, partnerships with local governments, and the implementation of safety measures. The impact and perception of Airbnb can vary widely depending on the local context and regulatory environment.

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