Shared Mobility

This report explores the challenges faced by carsharing organizations related to high tax rates caused by the requirement that the service pays the same taxes as conventional car rental services. The study finds that carsharing has different and higher tax rates when compared to other shared-mobility services, leading to the decline of carsharing membership in the United States in recent years. Findings also suggest that some of the largest cities in the country impose tax rates of 15% or more regardless of the duration of using the service, which can lead to users becoming tax burdened.