Charging HST in Ontario

[Lisa7028]

Has any Ontario hosts been having issues getting a straight answer from

Airbnb in regards to HST collection and remittance?  After thoroughly reading, the Airbnb host information regarding taxes, if you were an HST, registrant, which I am I have to charge and remit HST. When I initially contacted Airbnb support, they stated they were not charging HST. Then I wanted a second confirmation, and they said they are definitely charging HST and remaining it on my behalf although they cannot show me any proof, and Canada revenue agency can also not look into that matter yet I still have to now remit 13% of All my earnings, even though airbnb is stating they are also collecting HST???  

[Jenny]

Hi @Lisa7028 

Did you manage to find an answer to your question elsewhere?

I am reaching out to Hosts in Canada @Stephen1209 @Uchenna8 @Leslee18 if they have insights about this.

Jenny

[Leslee18]

@Lisa7028 yes thanks seems I can't do it on a lap top have to do it through an app like tablet or phone 

Leslee

[Lisa7028]

No, I have not been able to get anywhere with Airbnb. They simply cannot show me any proof that they are charging it. They are just saying they are confirming that they are charging and remitting it but they are not supposed to because I’m an HST registrant and CRA says it’s between me and Airbnb but I still should be collecting and remitting it but I don’t think I want to do anything until I get confirmation from Airbnb because you can’t charge  somebody twice.

[Barbara3016]

Hi @Lisa7028 , I am currently having the same issue. Does it the HST/Taxes appear to be charged on your listing as a separate line item? I am only seeing my base price, cleaning fee, and service charges. I thought I would see HST on top of this. So far the Support has been zero help! 

[Bruce556]

Hi Lisa, I am getting the same answer from Airbnb, my accountant says they have to deduct the HST from my payout.  Airbnb have told me on two occasions after contacting their support team that I am all good and they are collecting and remitting on my behalf. I was told as long as they have my tax information they are remitting HST. Like you, no one can show me proof. I'm at a loss as to weather I should be adding HST to my listings or not, 13% really hurts my business. I put in another call awaiting answer

[Lisa7028]

If they have your tax info, then they should NOT be collecting and remitting!   It even states on their help site, that if you provide your hst # then they will not remit.  Last rep finally confirmed they are not remitting on my behalf so I finally added the tax to my listing tonight. The reps simply are not educated on this matter. CRA rep said they cannot even look into matter..it’s between me and Airbnb but even without proof I have to pay back 13% of my earnings!  I hope I don’t lose bookings going forward. 

[Renee569]

I JUST registered for HST because I hit the 30k within 2.5 months (I’m near Ottawa).  I am pretty much clueless to all of this.  It’s so hard to navigate.  I’ll take your info for notes and show my accountant.  It was helpful … I’m hoping I’ll be a tax pro before the season ends lol. 

[Michael2548]

In the same boat here.

We actually got audited because of this. If you are an HST registrant, and have an HST number, your are NOT ALLOWED to have anyone else collect your HST oh your behalf - heard this directly from the CRA. If you are HST registered, then it is YOUR JOB to collect and remit HST. 

But in order to prove that you have collected and remitted HST, you need to produce invoices that shows you have done so. Currently the guest invoices have no HST line item and no ability to add it. Oh but conveniently they added an occupancy tax line for 2023, which is 13% of THEIR guest service fee. So they are being complaint with CAD/Ontario tax law, but not giving hosts the ability to do the same.

The net result is no matter how much you up your price to try and include HST, without an invoice that says you have done so, the government will demand 13% on whatever your gross earnings are.

Was on the phone w Airbnb for an hour, all they said is that "they are working on it". Insanity.