Hi. My town is planning to enact an ordinance for Short Term Rentals. One of the requirements is to register with the state as a merchant. I know that Airbnb is considered a Marketplace Facilitator and automatically collects the state and county taxes. My questions is whether as the owner/host I need to register as a merchant with the state since Airbnb is collecting the taxes.
Hi @Ralph25 Does Indiana have a state sales tax? If so, that is the tax that you will need to collect and remit as a merchant. It is separate from the hotel occupancy tax which Airbnb DOES collect from guests.