New pay system

[Wendy1531]

I don’t understand why air bnb is doing this will we b taxed on the full amount the guests pay now. Before they saw what was a government tax  but now if it is added into our  pay   Who will pay the tax ? Us?  I think I will move to another 

[Mike-And-Jane0]

@Wendy1531 sadly (for you) all the other sites charge only the host and generally charge the same or more than Airbnb. So changing provider is of no use to you.

In most tax jurisdictions the Airbnb fees are tax deductible so your net earnings should be the same as today.

[Snehal1]

I think it's worth waiting for Airbnb to explain exactly how the new payment system will work before making any decisions. Taxes are handled differently in different countries, so the impact may not be the same for every host. Hopefully Airbnb will provide a clear breakdown showing what is guest payment, government taxes, fees, and the host payout so there is no confusion.

[Shelley159]

Hi @Wendy1531 

Your tax position should remain virtually the same, unless you're paying a form of tax that's calculated on your gross income (i.e. you cannot deduct service fees), or if you reach a tax threshold that's determined with reference to gross income. 

Income tax mostly uses net income, although there are exceptions for some categories of hosts in some countries.