WHY are some bookings TOT (transient occupancy tax) "Pass Through", and not automatically collected to the government?
06-10-2023
01:20 AM
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06-10-2023
01:20 AM
WHY are some bookings TOT (transient occupancy tax) "Pass Through", and not automatically collected to the government?
Most of my bookings automatically remit the "TOT" (Transient Occupancy Tax), paying directly to the county. However some, maybe 1/10, are labeled as "Pass Through TOT" and don't get paid to the county. Why?
This becomes a massive headache because then I need to trace down all those stray Pass Through bookings, create a designated tax return, and submit a check, all for those random Pass Through bookings. What's going on here? Haven't seen an explanation anywhere.
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Tax & regulations
06-10-2023
01:20 AM
8 Replies 8
09-10-2023
04:32 PM
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09-10-2023
04:32 PM
Have you checked out the Help Center to see if the tax laws may affect your listings differently? There's an article here which might be useful >> https://www.airbnb.co.uk/help/article/1036
I'll also ask some other Hosts who may have experience with these to drop by! @Kitty-and-Creek0 or @Ana2038 have you encountered this before?
09-10-2023
05:06 PM
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09-10-2023
05:06 PM
I think this may be a question for the agency that receives the TOT. In my case, I do the math and the bookkeeping every quarter, fill out forms, write a check to the county tax collector, and mail it off. Another check and form go to the business improvement district that funds the visitors bureau. Similarly we do the paperwork and send checks to the various tax collection offices for business inventory and license fees. My guess would be that every location has its own bureaucratic rules and regulations for us to comply with. Going to the source would be my best advice.
09-10-2023
06:43 PM
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09-10-2023
06:43 PM
Hi Kitty, thank you for your reply! Appreciate you trying to help.
I have spoken to the agency. They said they have no control how Airbnb collects taxes, which is why I have to fill out a form every quarter stating number of nights booked, how much Airbnb collected in taxes, etc.
Here's the actual problem: Airbnb is inconsistent in the way they are collecting the TOT. I have the "Default" setting selected in the Tax Collection tab of my listings. 90% of the time, Airbnb collects the TOT and automatically remits it to the County, perfectly as should be the case. However, every so often, maybe 2 or 3 bookings a quarter, Airbnb collects the TOT from the guest, but then sends the money to me as a "Pass Through TOT." What's frustrating about this is that for these 2 or 3 bookings, I have to take the extra steps of reporting the money I received and cutting a check to the county. This should not be happening. I'm trying to get an answer on *Why* only certain bookings are sending me "Pass Through TOT" and not all bookings being handled the same way. Does that make sense?
Thanks again for your help!
09-10-2023
09:07 PM
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09-10-2023
09:07 PM
Thanks for the details - I'm stumped, sad to say. Best wishes to you!
09-10-2023
06:57 PM
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09-10-2023
06:57 PM
@Breanna , I haven’t experienced this at all and it’s only due to the fact that my city does not currently collect TOTs, but that may change in the near future….
11-08-2024
01:37 PM
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11-08-2024
01:37 PM
I am having the same issue. So bizarre. Anyone else have any insight? OP, how did you solve, if at all?
11-08-2024
01:37 PM
13-11-2024
03:35 PM
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13-11-2024
03:35 PM
I just noticed this for October bookings and was like What the heck is going on. Frustrating
13-11-2024
03:35 PM
12-08-2024
01:48 AM
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12-08-2024
01:48 AM
That is strange. Are both your listings in unincorporated San Bernadino County and not in the city of Twenty-Nine Palms?
12-08-2024
01:48 AM