My cleaners charge a substantial amount for cleaning my larg...
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My cleaners charge a substantial amount for cleaning my large property between guests. The cleaning fee I charge to guests is...
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Our State tax rate is 5.3% and our local tax rate is 8%. Airbnb is collecting both taxes on their own service fee. 1. It says on Airbnb's page here: https://www.airbnb.com/help/article/2523/ that guest service fees are NOT taxable. 2. Is everyone in Virginia experiencing the same issue? 3. Is this legal? Taxing the cleaning fee is questionable as labor is exempt from sales tax in Virginia. I can't imagine taxing a fee is legal. This is causing unnecessarily high fees for our guests and needs to be changed.
@Stephen121 The taxes possibly charged on your listing are as follows:
Thank you for the help, but it doesn't explain why on airbnb's own site it clearly says guest service fees aren't taxed.
@Stephen121 I didn't read it carefully but I think Airbnb's site says it is charged when they are collecting the fee and not charged when you are collecting the fee. Have another look and see if I have got this right.
I believe you are right. That's unfortunate because it is unnecessary and not required in our state. Services and labor are tax exempt.
The Airbnb help article says:
Guests who book Airbnb listings that are located in the State of Virginia will pay the following taxes as part of their reservation: