Palm Beach County Tourist Development Tax (TDT) Must Be Paid By You

[Brian1613]

When you sign up for Airbnb, it tells you that they collect taxes in Florida. Well, sort of. ONE COUNTY, Palm Beach County, does not participate.

When you read this: https://www.airbnb.com/help/article/2580/palm-beach-county-fl , it is still currently telling you to go to the County website to find out the rules.   They don’t really post them, either. 

You must collect the Palm Beach County Tourist Development Tax (TDT), and file it, manually, yourself.  If you haven’t, taking Airbnb at the “We pay Florida Taxes, thing,” you will be fined for each late report, and still owe the 6% TDT.

Further, Airbnb does not collect the TDT. Here is how you can collect it yourself, though, through their system:

1. In your Hosting Dashboard on a WEB BROWSER, go to the listing under the Listing tab;
2. Under “Pricing” in the listing, scroll down to “Standard Fees and Charges”;
3. Click on Community Fee;
4. Set the calculation to %
5. Enter 6, per reservation
6. Save

That will then collect the money needed to pay the local 6% tax.

Otherwise, the 6% comes out of your profits!

I just went back and caught up.  It can be a bit expensive, with fines.  

Why is Palm Beach the only county that does this?  Can’t tell you. I asked. Got no answer. I would suspect that they like the fines. Otherwise, they would get 100% of the tax money through Airbnb.

[Brian1613]

I know. I got that too. Then I spoke to the Tax Assessor’s office. They claim that they do not get the TDT from Airbnb, and that we’re all liable to file it. I thought, when I started, that I was just reporting it, as it was filed by Airbnb. They said no. When I contact Airbnb again, they told me that the person(s) who had told me what you have there, above, were in error. They do not do that for Palm Beach County. Other counties, yes.

I have to go to the county on Monday to see if I can get a straight answer out of someone. Most frustrating.

[Elizabeth-And-Ken0]

Yeah, super frustrating. Airbnb support called me today to follow up on that message. I asked them if we were talking about the same tax, cause they were just throwing around the term “tax.” I said I need to know specifically if they are talking about the TDT. Of course, the agent didn’t know. 
idk why other Florida counties are getting it automatically collected through the Airbnb system but not Palm Beach. Up until early 2019, the tax was collected on a quarterly basis. Now it’s every freaking month. It’s such a burden!

[Brian1613]

Penalties make Ms. Gannon a lot of money, apparently. She’d get 100% compliance if Airbnb did it. That really can be the only explanation.

[Brian1613]

Yes, the DO NOT collect Palm Beach TDT. You need to not only register, but you need to file the tax every month, even when it is ZERO.

You can see how to do that in the post that I put up after several hours of going back and forth with Airbnb on the best way to get the 6% collected.  Otherwise, it just comes out of your earnings.

You are also liable for any tax that you haven’t paid, plus the $50/mo penalty, that goes up if it’s over a year. I’ve already asked:

A) Why they don’t let Airbnb collect the tax;

B) Why they have NO INFORMATION on their website about collection with airbnb and other similar services;

C) Why they won’t engage in penalty amnesty, considering that Airbnb hands you off to the County for instructions, and Ms. Gannon’s office provides none, in writing, and a very inconsistent story from those who answer the phones.

[Tee-And-Alex0]

Thank you to everyone that shared a comment. I have been trying to add a line for the TDT, to be in compliance.  The Tourist Development Tax needs to be paid on the 20th of every month to avoid fees. You can pay online but you will need for your BTR and the TDT. 
I was told by one on the county managers that the county has be under pressure from the hotel industry to collect the TDT for short- term rentals.  Hotels have been paying this tax for years and now the County is going after Airbnb hosts to collect the money. The County can go back 3 years to collect the Taxes. My final question what how does is benefit us? The revenue is used to bring more tourism to Palm Beach County, via advertising and marketing. 

[Shannon538]

Hey Brian1613. On your suggestion above you used WEB BROWSER in caps. Does this mean you should be somewhere else, other than logged into your Airbnb account when walking through your steps?  I tried to look for Standard Fees and Charges while logged into my Airbnb account under Pricing, but this option is not there. Having same 6% TDT collection issue in PBCty for last 3 years. Nothing on Airbnb tools or options has resolved. Thanks.

[Brian1613]

WEB BROWSER because their antiquated system locks up on phones, and iPad iOS Chrome. iPad Safari now works, but the way the Assessor’s office built their website uses some very clunky tech that takes forever to get into. 

I’m the new Community Leader for West Palm Beach, which is the closest Community Group to you. Airbnb set up a facebook page for us. You can join at https://www.facebook.com/groups/westpalmbeachairbnbhosts

We’re here to work together to sort all of this stuff out!

Cheers,

[Peter-And-Jennifer0]

Wife and I been with AirB&B and we are coming closer to cancel. We have made 5 calles to AirB&B without getting a straight answer. Brian, you are 100% correct.  However, their support keeps asserting that they are collecting the sales tax ( even though the percentage is incorrect) and TDT tax and remitting it to the tax authorities. Five calls and same assertions. So what have they been doing with the monewy that they have been collecting from the tenant?  No answer as of 5 months of inquiry.

I I am a CPA and understand the tax laws, federal, State and local mentioned to them that the rental sales tax now id 6.5% ( 2019 was 6.7%) and per the download excel report they are, for one, the percentage is incorrect, and two where is the money? I am paying the taxes and in the mean time 

they are collecting the taxes, per the 5 conversations, but have not received a response where the funds are going. Out TDT account number was uploaded to their website and complied.

Next thing I know is that Airb&B changed out status to 180 days or more and we can not change it

back to the 7 day minumum.  

I spoke to the Florida Dept of REvenue and tax collector in Palm beach County as  Brian mentioned, they do not receive any tax funds.

For those that Airb&B are collecting the funds for Palm Beach County hosts, call and ask them if they are collecting the tax on the tenants. Most likely they will say yes, ask them where the funds are if the authorities do not collect the funds, they will not respond.  It is becoming a legal issue. My name is Peter Camacho and you can call my office just do a google search for Peter Camacho CPA.  Frustrating. 

[Susan17]

@Peter-And-Jennifer0 

There are several threads on the Community Centre in relation to the tax issue, and also on the 180 day debacle (countless posts on FB groups and forums too) You can find the ones in the CC if you use the search bar. One recent thread below. Hope you get everything sorted soon - your head must be melted! 

https://community.withairbnb.com/t5/Help/Airbnb-is-being-shady-with-occupancy-taxes-in-Osceola-Count...

[Brian1613]

Better answer for Palm Beach County: https://community.withairbnb.com/t5/Help/Palm-Beach-County-180-Day-Delistings/m-p/1246497/highlight/...

[Brian1613]

For what to do about the 180 Day, and what is going on,  see...  https://community.withairbnb.com/t5/Help/Palm-Beach-County-180-Day-Delistings/m-p/1246497/highlight/...

[Brian1613]

If you’re still with us, I’m the new Community Leader for West Palm Beach, which is the closest Community Group to you. Airbnb set up a facebook page for us. You can join at https://www.facebook.com/groups/westpalmbeachairbnbhosts

We’re here to work together to sort all of this stuff out!

Cheers,

[Daniel7049]

Hi Brian, thanks for the information. I just was notified that my listing now has a 180 day minimum stay because I need to add my registration numbers. I added the registration number months ago and I have been filling and submitting my payments since Jan 1 2021. I went back in and re-entered the information but I still have the 180 day minimum stay. Do you know who I can e-mail or call to get this resolved? 

[Brian1613]

Hi Daniel!

I put support for that in another thread. Search Palm Beach County Tax and you’ll see one or more of them. Hard to keep re-writing. Let me know if you resolved the issue.

I’m the new Community Leader for West Palm Beach, which is the closest Community Group to you. Airbnb set up a facebook page for us. You can join at https://www.facebook.com/groups/westpalmbeachairbnbhosts

We’re here to work together to sort all of this stuff out!

Cheers,

[Marianna218]

The same happened to me!!