Occupancy Taxes?

Answered!
David3394
Level 2
Auburn, AL

Occupancy Taxes?

Occupancy Tax is killing our listing!

 

If AirBNB is collecting and (likely) not actually paying the tax to the jurisdiction, would you please lower your service fee to help the host to be competitive? This new addition to the total price is VERY disappointing.

 

We are NOT a hotel... it's a peer-to-peer network. Hire a creative tax attorney who has some guts. Stand up for the hosts. Don't cave. This is a serious issue that has not really been resolved.

1 Best Answer

@David3394 - Airbnb is paying the occupancy tax to the jurisdiction or else they would not be allowed to do business there.  It's usually a part of the deal they make to not be shut out.  Unfortunately, "occupancy tax" has nothing to do with being a hotel, it has everything to do with being a "tourist tax" - so people visiting the area who use the roads, the utilities, the city-sponsored and subsidized parks, etc. - who do not pay property or income tax to the area - are charged for this.  Think of Las Vegas, Charleston, Washington D.C., any location where tourists outnumber the residents, this helps keep the area in good condition for all the extra "use" where regular taxes do not cover it.  It helps keep all areas ready for the next tourists.  

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63 Replies 63

They have a set of Professional Tools that would allow you to do this. You would just need to provide them some basic business information.

Pecan Grove Retreat
https://www.airbnb.com/rooms/31963263
SuzanneAndJohn0
Level 2
Columbus, WI

Wisconsin Charges 5% sales tax, Columbia County 0.5% Sales Tax and our city, Columbus 6%. As of October, AirBnb charges the State and County tax for us, which we then pay. That's great we love it this wasy!We DO NOT WANT AirBnb to pay taxes for us, though some might prefer that option. We already pay state, county and city taxes monthly month with our other small business. I'm not certain that Wisconsin requires the "cleaning fee" to be taxed, it may be exempt. However I'd very much like Airbnb to also add the 6% city tax rather than having to add an extra charge through the resolution center, because additional charges at check in or out frustrate guests and it's one more hastle for us. To make matters more confusing Vrbo and Booking.com each handle these differnlty, so end of month is a pain. Thank you for listening. 

Eddie33
Level 2
San Francisco, CA

I'm a host in South Lake Tahoe's El Dorado County, where in 2018 we transitioned from self-reporting/paying occupancy tax to AirBnB collecting and paying the tax to the county on owners' behalf.  But the county still requires a owner-submitted tax form reporting the bookings for the quarter. When I try to reconcile the quarterly taxes collected and paid by AirBnB, there does not seem to be a way to total the taxes for the quarter. Under gross earnings, each guest's occupancy tax collected is listed as a line item but not totalled for all guests. When I download a CSV of earnings, the taxes collected are not listed at all so I cannot total it myself in the spreadsheet.  Am I missing a way to show total taxes collected by AirBnB for a period of time?

Jason-and-Jenn0
Level 1
San Jose, CA

Airbnb doesn't collect the HI taxes for us.  We have to request the guests to pay this separately through Airbnb.  A note is included on my listing and I have the guest confirmed this extra expense before I accept their booking, and still some guests won't accept to pay after the leave.  Some say they don't understand this extra fee?? Any advice as to the best way to get the guests to pay these taxes? Wish this was done by Airbnb 

Sean511
Level 2
Austin, TX

Does anyone know if we can provide them the cities tax information so that we can help faciliate the relationship between AirBNB and the City so that this tax information can automatically get added?

 

I agree with all the sentiments above. Asking our guests to pay this additional fee through the resolution center is not an adequate solution.

Pecan Grove Retreat
https://www.airbnb.com/rooms/31963263
Dada-Unity0
Level 2
New York, NY

Hi I'm in GA , ATLANTA,,is there a way to have the taxes collected at the end of the month ,,,

Margaret490
Level 2
Oceano, CA

How do we verify that AirBnB paid the Occupancy tax to the county.  Is there a way to see this?  We received a tax bill from the county which came out to the 12% taken by AirBnB.

Did you ever get a reply to this post?  I have the same questions.  Thanks, Katie

I still see lots of questions to find the what and to who taxes are being collected and paid for.  Airbnb listing shows that "it" is being collected, but I have to find a detailed report on where that money is going?  We just started this last year and I did register with our City and they are sending forms I need to process to pay the local taxes, but I cannot find anywhere on our site here that gives me a list of who is getting my tax money.

 

Anyone get an answer yet?

Connie-And-Mark0
Level 2
Gloucester, MA

Do we pay the occupancy taxes from our income or does AirBnb pay it?

 

But when AirBnB collects taxes for the wrong jurisdiction, our case the wrong county, they refuse to change the information.  They claim their expert cartographers know where our listing is.   I guess I've been paying property taxes and occupancy taxes to the wrong county for all these years.   And my kids must go to the wrong schools.   The all knowing AirBnB cartographers have spoken.  

 

Tricia134
Level 1
Mill Valley, CA

So I realized that AirBnb is charging an Occupancy Tax and supposedly paying on my behalf.  My property is in Mexico and I went through a lengthy process to arrange to pay my all of taxes directly to Mexico.  So if in fact Airbnb is paying an Occupancy Tax, they are double paying on my behalf.  So I called AirBnb to ask for the receipts from Mexico so that I may be reimbursed.  The Airbnb agent pointed me to an Excel spreadsheet that I am supposed to use as my receipt!  That agent also could not tell me the tax rate or to whom the Occupancy Taxes were paid.  When I pay my taxes to Mexico every month, I get an official receipt (as one would expect).  By the way, I also had to give my accountant special permission to pay my taxes for me - which I did NOT give to AirBnb.  I have contacted Airbnb 3 times now on this issue and am still waiting to hear back.  

 

Has anyone else requested receipts from Airbnb?

Paul6246
Level 1
Fort Worth, TX

I live in Dallas, Texas, and until today long term rentals didn't get charged taxes; but when I looked this afternoon, I saw that my guests were being charged taxes in today's bookings.  Is this a new thing for Dallas, or is there just a glitch in the program?

 

Also, I noticed that Fort Worth guests are being charged taxes on long-term bookings as well.  Does anyone have any information about this?

Jes11
Level 2
Fairbanks, AK

In my area, the borough will not address Air bnb so I have to request taxes after check in (or make my price higher to include the taxes).  I have a lot of guests come up for work and they need that tax information for their expense report.  How do I give them a receipt for that? 

Ruth933
Level 2
San Diego, CA

Hi - I am a traveler and would appreciate someone helping me decipher this below before I go direct to my host? These two points are stated in the listing:  

 

1) "[LISTING COUNTY] requires that we collect a $5 per night Convention Center fee which is billed when you book." I appreciate hotels charge this, but Airbnb can too? 

 

2) "If you instant Book airbnb will charge the occupancy tax at 14%."  I did not instant book (it's not an option), I only 'reserved'.  So, does that mean I should NOT have to pay the occupancy tax? On top of that fee, I am being charged a 14% service fee and what I believe to be an exorbitant cleaning fee ($400). All told, my fees add 30% to the total spend - crazy!

 

Lastly, is it common to have to sign an extensive rental agreement  (7 pages) and include your drivers license information? This is a beautiful (and expensive) home, but I've never had to sign a separate agreement for any of my bookings. This is in addition to a $2000 security deposit. 

 

Appreciate the insight, thank you.