@Jeffrey-And-Rachel0
1. My accountant advised me to file a "zero tax due" return each reporting period and to include a letter stating that the appropriate taxes were collected by AirBnB and other OTAs and paid by them on my behalf. I keep printed copies of these returns in the event of an audit or being billed for non-payment of taxes.
2. The amount that I report on my taxes is the gross amount the guest is charged for the rental. This includes the 3% service fee AirBnB charges me for the guest using a credit card for payment as well as the AirBnB 12-15% service fee that is never disbursed to us.
3. You will get NOTHING from AirBnB showing that X dollars in taxes were paid on your behalf. I keep a very detailed spreadsheet of the amounts my guests were charged for taxes and service fees as well as the bank deposit emails detailing the amount I would be paid (later reconciled with the bank records). I DO NOT rely on the AirBnB reports to provide accurate information.
4. As we should be getting 1099s in 2023 for this income, realize that the 1099s will include the AirBnB fees we never receive as well as the amounts that would have been disbursed for cancellations, refunds, etc. If there was a transaction related to our properties, i.e., a booking where money was paid to AirBnB, that will be reflected on the 1099, so keep track of everything, including cancellations that you were never paid for.
