California voters consider controversial vacation homes tax in iconic Lake Tahoe area
Voters in the scenic mountain town of South Lake Tahoe in Northern California are considering a tax on vacation homes
SOUTH LAKE TAHOE, Calif. (AP) — Owners of vacation homes in Northern California's South Lake Tahoe could face a significant tax increase if voters in the mountain resort town approve a measure on Tuesday’s ballot that pits affordable housing against private property rights.
South Lake Tahoe, which sits on the shores of the iconic alpine lake, has about 7,000 vacant homes — 44% of the city’s estimated housing units — according to the 2022 American Community Survey. Measure N would levy a flat $3,000 tax on homes that are vacant 182 days within a calendar year.
The tax would increase to $6,000 for every subsequent year the home remains empty for half the year.
The town is the latest across the United States with a growing debate about the impact of vacation properties. Critics say vacant second homes have worsened the nation’s housing crisis by contributing to a shortage of affordable rental properties, especially in pricey resort places like South Lake Tahoe.
