Why you would punish them for that I don’t know,but people are strange. 

Your quoted article further highlights that it is unlawful for cities and towns from prohibiting short-term rentals.

Is it is like thousands of dollars penalty or some other punishment they give?

So is eviction.Time to create and implement systems for rent collection and an internal policy (and checklist) for eviction, too.The judge gave you the right answer: hire an (unlawful detainer) attorney and do it right. 

I think punishment works better than positive reinforcement for tenants. :) Personal opinion.

you're exactly right James Vermillion....Charlotte City Council said the purpose was to know where to get ahold of landlords..however, that is already public record, so this seems a little redundant...second of all, they said it was to punish landlords who repeatedly have crime occur at their property....Shouldn't we just punish the people who are committing those crimes instead of pushing the blame onto someone else?!

Not sure if it was unlawful to not include it in my taxes and if it would hurt or help me in the process.

I know of few other fields where extensive deep knowledge of the subject area, vast experience, and specific analytical ability as well as negotiating skill is so deeply rewarded, and where the lack of above is frustratingly punished.

The stripping route is long and punishingly difficult.

Then if they stay, you will need to file an unlawful retainer (or your lawyer will), which is similar to an eviction notice.