Taxes Charged by Hosts in BC

[Derek383]

Hi all, this is a very confusing topic, but I've done a lot of work trying to fully understand the situation. I'm going to lay out how I see what an average host in BC should be charging for taxes and I'd love to hear your thoughts. I hope this is helpful for some of you.

"If your gross rental income exceeds $30,000 in a 12-month period, you would be required to register for and collect GST/HST.

Airbnb collects and remits GST/HST on behalf of property owners who do not have an obligation to remit themselves. Therefore, if you exceed the $30,000 threshold and are required to register, it is important to provide your GST/HST number to Airbnb so they can adjust their invoicing accordingly.” 

I do make more than 30k in 12 months, so I got a GST number and attached it to my listing.

Here is a screenshot of a recent booking of mine.

 

I know that the Occupancy tax consists of 8% PST and 3% MRDT. It DOES NOT include GST. In the payout summary I don't see GST being charged by Air BNB. 

This is the backend of my account showing what taxes are paid.

 

So I have created a customized 5% GST tax that I charge all my clients so that I can self-remit my own GST.

When I read the below Air BNB page this is what I understand from it. 
https://www.airbnb.ca/help/article/2283 

If you add a GST number to your listing you have to start collecting your own GST and remitting it because Air BNB won’t do it for you. I don't think this was communicated very well to hosts so I just wanted to lay out this whole situation and go other peoples thoughts on it. 

Cheers

[Rebecca]

Hello @Derek383 👋

I'd like to tag some hosts from Canada here that may be able to add to the conversation: @Hitomi3, @Mike3317, @Zheng49, @Ouadie2 and @Fatima645, I'm hoping you don't mind my tag and ask for help here. 

Looking forward to hearing from you,
Rebecca 😊

[Fatima645]

Hm, I did not add my own GST to my listing because when I read the article, I understood that AirBnb does it for hosts.