@Suzanne-And-James0
Welcome to the thread! I have made various posts here that should address your issue but to quickly summarize:
1) you're not responsible for the collection or remittance of tax on any AIRBNB rental
2) you're not responsible if they don't do it properly (but if you know they are doing it wrong, you could notify DOR to make them aware)
3) you don't list any rentals via AIRBNB on DOR filings, just those paid directly to you. If none done directly, you don't need to file that month.
Does that help? I am basing my answers on emails from Jen @ DOR, DOR website, other websites and my own research.
Addendum: it's best to use the @ tag to notify someone here.
Also, by November 1, you will need to provide your certificate number to AIRBNB.
Update #2: you don't get credit for rental done via AIRBNB as, in effect, it's as if they rented directly from them, not you, for this type of tax.
My comment regarding refunds was for those done directly to me, but was also related to wondering how/if AIRBNB was doing it correctly also.
Greetings Suzanne,
My name is Jasmine, and I work here with Airbnb. To my understanding, you contacted us regarding the occupancy tax collection and remittance by Airbnb in Massachusetts.
In certain areas, Airbnb has reached an agreement to collect and remit occupancy taxes, so the tax is assessed automatically by Airbnb. The amount of the tax is shown to guests as a line item on the listing page and again on the booking page.
Airbnb has entered into a voluntary collection agreement with the local tax collector in Massachusetts. We will be filing one tax return per jurisdiction, with the total combined reservation revenue. All hosts located in your area will be represented by one remitted amount, and we will not be providing your personal information on the return. This means that when Airbnb reports these amounts, we do not use your certificate number. Taxes are reported under Airbnb tax ID number.
Occupancy tax collection and remittance by Airbnb in Massachusetts:
State of Massachusetts
Guests who book Airbnb listings that are located in the State of Massachusetts will pay the following taxes as part of their reservation:
State Excise Tax: 5.7% of the listing price including any cleaning fees and guest fees, for reservations 30 nights and shorter for Short Term Rentals and reservations 89 nights and shorter for professional listings. For detailed information, visit the Massachusetts Room Occupancy Excise Tax website.
Local Option Excise Tax: 0-6.5% of the listing price including any cleaning fees and guest fees, for reservations 30 nights and shorter for Short Term Rentals and reservations 89 nights and shorter for professional listings. For detailed information, visit the Massachusetts Room Occupancy Excise Tax website.
Cape Cod and Islands Water Protection Fund Excise Tax. 2.75% of the listing price including any cleaning fees and guest fees, for reservations 30 nights and shorter for Short Term Rentals and reservations 89 nights and shorter for professional listings. This tax currently only applies to reservations in certain locations. For detailed information, visit the Massachusetts Room Occupancy Excise Tax website.
Convention Center Finance Fee. 2.75% of the listing price including any cleaning fees and guest fees, for reservations 30 nights and shorter for Short Term Rentals and reservations 89 nights and shorter for professional listings. This tax currently only applies to reservations in certain locations. For detailed information, visit the Massachusetts Room Occupancy Excise Tax website.
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Your local tax office can share more information about the Voluntary Collection Agreement with Airbnb and how this process may affect your tax reporting. For example, some areas request that hosts fill out worksheets indicating the amount that has been paid on their behalf.
Should this be the case for you, you can always refer to the “Gross Earnings” section of your “Transaction History” for a reservation by reservation breakdown of amounts that have been remitted on your behalf. Please take note that tax collected will not be reflected here until the payout is released. For your convenience, if you are logged into your account, you may view these amounts by clicking on the link here:
https://www.airbnb.com/users/transaction_history/#future-transactions
Here are the details on the amounts being accounted for in Massachusetts:
https://www.airbnb.com/help/article/2587
For more information about it, check out our Help Center article:
www.airbnb.com/help/article/653
Your local tax collection official and/or a local attorney may also be able to provide additional information or advice about your personal situation.
If you have any further questions, please reply to this email.
Best,
Jasmine
www.airbnb.com/help