VAT applied without notification and in the wrong country, anyone else?

Pat6574
Level 2
Bali, Indonesia

VAT applied without notification and in the wrong country, anyone else?

Hi,

After weeks of loopholes with the airbnb support, I'm rising the case here hoping that correct  rectification system can be made in the financial/ IT dept or advise from the community.

In August, without notification from Airbnb, I got charged VAT on airbnb's commission without notice (have a look at yours). Which I can understand to some extend. The real matter is that the VAT is not charge in the right country but arbitrary from my ID adresse (Not US citizen). We find out that you have been charging us 15% commission + V.A.T ( so about 17-18%) towards... FRANCE (Which is where my ID is registered, doesn't mean i'm resident there).
Asking for clarification on this un-explained action to Airbnb Support, I have been explained the following:


Discussing with airbnb support, they explained that the COR System considering the following criteria:

-(i)Phone number country, INDONESIA
-(ii) IP address; operating from outside the registered country is not a crime neither are VPN are they? INDONESIA OR ELSEWHERE..
-(iii) Payment instrument's country; INDONESIA.
-(iv) Payout instrument's country; INDONESIA.
-(v) Government ID; Passport Citizenship doesn’t involve taxation in the same country unless you are US Citizen. and in my case I'm settled and paying taxe in INDONESIA
-(vi) Verified VAT ID country; We do have VAT ID from Indonesia but the country is nowhere to be find in the list ! We are making taxe reports every month to the Indonesian government and are already paying it manually...


-Suggestion (Vii)? the first criteria should be the address of the listing of the property itself as in every country it work this way isn't it ?

So as a result of those 5 criteria it seems like 5/6 criteria are in legally in Indonesia yet the only 1/6 counts for an arbitrary decision which is the adress on my passport even no I'm not resident there... Considering again as well that Indonesia is nowhere to be found on the list even though we would be happy to comply as per the requirements ( as always as host !).

Also I have been told that r
efund cannot be made on the unexplained VAT is not possible (even thought it is not my mistake)  and simply changing to Indonesia isn't an option either from now on even thought it covers 5/6 criteria.

To regulate the situation, the only ''solution'' offered by the support after weeks, is the following:
Change the ID to an Indonesian one as to automatically change the country in their COR system, which imply to delete my actual ID; resulting in cancelling any upcoming bookings..! What is that ?

Years of dedication as superhost down to unexplained COR System error and spending countless hours discussion with pre-recorded answers loopholes bots and support team urging to close the case as fast as they can. Frustrating.

As Anyone having the same arbitrary unsolved problem here?

Thanks in advance,

All the best to you,



3 Replies 3
Emiel1
Level 10
Leeuwarden, The Netherlands

@Pat6574 

 

Besides the issue VAT being charged in the wrong country:

If you own a business account and a verified VAT number, and no (other) international business is perfomed, IMO no VAT should be charged at all.

(Invoices should state: 0%)

 

Similar thing happened to me. They simply set the VAT country to be the country of your ID. This is not correct in any way, VAT is always payed in the country where the service was provided, and is independent of ID, residence, phone number, etc.

 

They probably have no better way for now to decide where you are physically located.

HollyandDan0
Level 2
United States

I am having the same issue.  My listing is in the USA, I am a USA citizen and taxpayer and yet I have a $600 VAT being assessed against my payout.  I have emailed and called for the past two months to Airbnb with no resolve yet.