calculation of the vic 7.5% levy

Bronwen9
Level 1
Somers, Australia

calculation of the vic 7.5% levy

I have been reading posts on how to calculate the levy amount and there have been replies on how much to raise your tariff. In this space that is irrelevant because Airbnb collect and remit the levy.

We know that the levy amount has to be calculated on the tariff and then that is added to what the guest pays before the final levy is calculated. This was calculated by many to come in at 8.11% early on but now bookings ( post Jan 1) are trickling in it is at 8.25% of the tariff even when there are no additional fees.

Is someone able to explain the maths of this? ... and why are we being advised that to stay on the same takings they should raise by out tariffs by 10% particularly in a space where the host is not reponsible for the levy.

Some simple maths on this would be helpful.

1 Reply 1

@Bronwen9 

I'm not in Australia (Victoria), but here is another thread on the topic:

 

https://community.withairbnb.com/t5/Help-with-your-business/Australia-Victorian-State-Government-7-5...

 

What I did see is your listing shows no cleaning fee or Airbnb Service Fee when trying to book. Does that mean you have elected to use Simplified Pricing and you pay all the fees instead of split fee?

 

Also, I noticed your listing has GST as well as the Short Stay Levy included under the taxes section:

 

Your Listing

Joan2709_0-1738510993948.png

 

Airbnb Taxes in Australia

https://www.airbnb.com.au/help/article/436