sales tax collection and remmitance

[Jaymi0]

Can anyone clarify how the new sales tax and remittance process works.  In the past, I collected sales and occupancy tax upon arrival and filed and paid annually. Now it seems that Airbnd will do this for my location.

However, I just received my first booking request under this new policy and there was no line item for the 10.5% sales tax & occupancy tax? If they do not include it on the quote, how can we confirm that they are actually collecting the requited sales and occupancy taxes on bookings? Does Airbnb report the and remit the taxes?  Or do they send us the tax with our payout and do we include it with our reports?

This seems to confuse things more and could wind up costing hosts if this isn't clarified. 

[Ellen12]

Yes, that's my take on it.  Assume it has been paid because ABB said they would.  I don't understand how they're connecting with our particular property, but again, I'm assuming they know what they're doing.  They've been under pressure to round up $ changing hands (rentals) from people not adhering to local law/taxing, so this is apparently how it's being solved.  

Comments?

[Jane353]

I have exactly the same question! How does the remittance work exactly. Have you found an answer?

Thank you! Jane

[Jaymi0]

Airbnd has sales tax agreements with various municipalities. When you input your location, it should indicate whether they will collect and remit sales tax or if you have to do so, separately. If you are in the United States, it's likely they'll collect and remit your sales tax. If so, it should appear on the invoice they send to your guest invoice. You can always give them a call at 1-855-434-7262 to be sure. That's how what I did when I wanted clarity.

Best,

Jaymi

[Ellen12]

Jaymi, It should work like that but doesn't always.  ABB is making a real mess out of collecting taxes and communicating what they are and are not collecting.  According to website, they are collecting state, county and municipal taxes in the area of our vacation rental, but as it turns out, they have no agreement to collect municipality.  So, we were left hanging this summer with their not collecting 5% tax on about $4000.  I called CS almost 2 months ago, then again, then again, and I've still not gotten an answer or call back from them. The mis-information still appears on website.   

I wish they would just stop collecting and let us collect and remit all taxes as we've done successfully for year.  It's not that big a deal!

[MaryJean0]

Under the earnings summary, I need help interpreting the occupancy tax column.  

Sometimes the tax amount is 0, sometimes up to $20, and never the same percentage of the gross earnings for the reservation.  How is the occupancy tax amount calculated?

Thanks!

MaryJean

Oregon City, OR

[Ellen12]

I just checked mine, and it appears correct.  One appears as -0- but that was before ABB started collecting and paying lodgings tax.  Maybe check your settings?

[Jeff125]

Hi Mary Jean,   We have a vacation rental in Oregon and have used VRBO for a number of years.  Occupancy tax is shown, paid by guests, then given to us to pay city and county.   We just got some AB@B bookings last month and are finding out they do things different, yet it appears they hadn't collected some of the taxes on a couple bookings.  Have you had your problems resolved?                           Thank You   Song

[Bob91]

I called my municipality and they are receiving funds from AirBnb for occupancy taxes,  but apparently only a lump sum payment with no identifying address or name to verify that these are taxes from/for my property.  So far,  the same seems to be true of state sales tax, County sales and use tax, etc. and AirBNB claims they do not provide the pertinent information for "privacy" reasons.  Still working out the details, but a local accountant will get me a tax id # for the state and help me file state sales and county tax if I just show them the income.  The question I have; when I submit my tax reporting documents, will the government willingly dip into their AirBNB pool of income and assume my taxes have been paid?  My municipality has been receiving these funds for awhile now and when I called (the whole town office only has about 6 people in it) they said "What are we supposed to do with this money with no addresses or names to attach it to?"   Still waiting for Air BNB tax office to call me back to tell me how this is supposed to work.   They recommended consulting local accounting firms but when I did,  they were just as bewildered as I am.  

[David-And-Cindi0]

Here in backwoods Arkansas... they could tell exactly what Air paid. But I already had a business id for my rental. Air is still off in one of the taxes tho... unrelated to sales...

[Lisa1111]

Whatever happened with this?

[Samantha654]

Agreed! I'd like an answer too.