New York State Sales Tax

[Debra782]

Hello.  As the host - do we need to submit anything to the state with regard to Airbnb paying the sales tax?   How does the state know to apply the payment to our particular property?  How do we keep track of the sales tax payments for accounting and tax purposes?  Thanks for any information anyone can supply

[Joan2709]

@Debra782 

I have been reading posts from other NYC and New York State Hosts and effective March 1, 2025 Airbnb has agreed to begin collecting the required city and state taxes on all reservations. Perhaps another NY Host can chime in here.

NY Taxes Collected By Airbnb

New York State Short Term Rental Taxes

https://www.tax.ny.gov/bus/st/stidx.htm

Apparently Airbnb will be remitting these taxes quarterly to the city and state in a lump sum, but (as I understand it), they don't identify each listings individual tax amounts, but will  include a full list of rental locations and taxes collected, by county. This will enable the jurisdictions to see who is paying the taxes and who isn't by reviewing the list. Airbnb says they can provide individual listings tax information, but normally they make tax payments in lump sums without identifying individual listings tax amounts. 

Taxes

https://www.airbnb.com/help/article/2523#section-heading-3-1

I usually suggest my Host clients keep a spreadsheet of every reservation and breakdown the taxes on each reservation. This enables you to keep your own record separate from Airbnb just in case the tax man comes knocking. Here is an example of a spreadsheet template I use with other Hosts. First you need to know all the taxes required and what percentages. Then double check on your reservations and using your spreadsheet that Airbnb is collecting them correctly. The percentages below apply to another Host's listing, so they obviously will be different than yours. This is just a template for a spreadsheet you can create if you like:

[John5097]

@Debra782 

There are a few places in your Hosting Dashboard and Profile that have some relevant information about taxes.

First to find out the amount of taxes, fees, host payout from each guest can be found Earnings selection. Click on Menu at the top, Earnings, then can click on the tabs for year or month. Look for both the Earnings Report and Earnings Summary. One has break down of host payout fees, taxes. The other is total payout to host, and service fee. I used the Earnings Summary for my accountant for income taxes, last year was the first year Airbnb also included a 1099 with was same as Earnings Summary, except the Summary had break down of the service fee which you would deduct on your worksheet.

The Earnings Report you can calculate exactly how much Airbnb is charging guest for the accommodations tax, that they collect and remit. (mine is 14%) 

Now the fun begins. I hope you like shell games, you know the one where you try and guess where the ball is?

You can go to your Hosting Dashboard, click on Your Listing, Listing Editor, click on the three bars at the top right, then select Taxes out of the list of things you can edit. Here you will see the list of state and municipals Airbnb is collecting and remitting local sales and accommodation taxes. 

This is what mine looks like. (I happen to have screen shots because I'm dealing with this now.) 



 

They don't give a break down of each tax. On our State website has each tax a STR is required to pay. (Yours will be different, but similar between state, county, city) 

Notice the total is 14% which also happens to be the amount Airbnb is charging each guest in the Earnings Report. 

All should be good, but for me and a lot of host it's not. 

I think NY might include individual address for listings.

However for me, last year, I got a letter and coupon book to pay the back taxes for the County and City, which are 4%. Shortly after that, a month later, I got a letter from Airbnb that they would start collecting the 4% for the County and City and remit to them. (There were already collecting 12% and remitting that to there state and the other local county fees. So I contacted the County to find out if I needed to keep paying the 4%. They said yes. To keep paying, they were aware of the Airbnb letter. So I waited then got another Coupon book from the County and City for 2025.

So now both Airbnb is collecting the 4%  for the county and city, and I'm paying it as well. The city won't even talk to me about it, and says to just contact the county, which I've already done.

So frustrating. This has happened to other host as well in different states all over. Airbnb says they are collecting and paying. They pay is some kind of "lump sum" and the county ends up collecting from both Airbnb and host. 

This is one of the reasons I'm planning on 2026 being my last years hosting. It's been a great experience but I just hate the idea of being charged twice for the same tax. 

This is the coupon book and at the bottom says, "fines up to $500 and.or imprisonment for 30 days"

 

The city also suggested just callecting and remitting the taxes myself. I even set up a business account with our state tax revenue department, but Airbnb no longer allows host to opt out of them collecting and remitting the taxes. This would have been the best solution for me. 

I'm going down to talk to the county in person but think it will result in no changes. I won't even be able to talk to anyone. They will just say to keep paying. 

I usually pay taxes in 3 states, and this is by far the worst experience and so unnecessary. I even read in the news the city is in a law suit with Airbnb and other municipalities have already settled. 

Overall though hosting has been a great experience! I'm usually very positive as the guest have been great and love it! 

I hope you have better luck with some of the nitty gritty and hope some of this info helped on where to find the tax info. 

ETA: You can use Pro Tools to have the option to add additional taxs for guest. It will show up on the Earnings report as a pass through. I charge an extra 4%. But that puts my listing at a disadvantage because the illegal ones don't pay anything, which I'm paying double. 

[John5097]

Update on this. I called Airbnb and they claimed they had a voluntary agreement with the County. And suggested I go down and talk with them. 

I did and think I have it resolved. They did enter an agreement with the County, they get a lump sum. Moving forward I'll still need to mail in the voucher coupon to the County and City and state that Airbnb has paid the accommodations tax, and provide record of each guest payment to Airbnb. 

They started this agreement in October 2024 so any guest who booked before that date I'll need to pay the accommodations tax for the county, and guest that booked after that Airbnb is paying the county.  

I hope this works. I think it's progress at least. Super shady IMO for both governments and Airbnb but it looks like I won't be paying double. There were no instructions they just mailed me a tax booklet and said pay it or go to prison. 😁

[Alex]

Hi @Debra782, 

Hope everything is going well. Thank you for leaving your question about New York state sales tax, I'm sure the answers collected here will help more users. You have already received some responses; did you have a chance to check them?

Also, I'm going to leave some links about regulations from New York state:

• Business licensing and taxes in New York City
• New York, NY

Hope this helps and thank you everyone for your help!

Best, 

Alex