Collecting Local tax

Simon92
Level 1
Albany, OR

Collecting Local tax

We have a home on the Oregon Coast and there is a local 10% Transient Tax. There is also a State tax at 1.8%. AirBNB is collecting the state level tax automatically but not the local tax.

 

I ahve stated in our posting that the tax will need to be collected. I was told by AirBNB that I can add it as anadditional charge after the home is booked. However I do not see how to do that.

 

Any help would be appreciated. Collecting at time of arrival is not as an option as we do not live where the rental home is located.

51 Replies 51

I too have been told to use the resolution center to collect local taxes. Now that I have contacted airbnb again about the resolutcenter  of functioning for guests I am toldd NOT to use the resolution center for local taxes. Here is what they said:

"Su, Jun 6, 02:48 CDT:

Hi Heather,

My name is Su and I am a Trip Experience Case Manager at Airbnb.

Apologies that this is happening, however, Resolution Centre is not used to collect local taxes.

As per this FAQ: https://www.airbnb.ie/help/article/481/how-do-taxes-work-for-hosts I would like to let you know that "if you determine that you need to collect tax, you can usually either add it within a Special Offer or ask your guests to pay it in person. In each case, it's important that guests are informed of the exact tax amount prior to booking. If you choose to collect tax outside of your listing's rates, please note that it should be collected only upon arrival and that we are unable to assist with collection."

However, I would like to understand what is happening with this specific case. If you could please provide me with the reservation code I will look into it as an exception this time. However, we would appreciate if you can collect your local taxes in person or include them in the special offer moving forward.

Hoping to hear from you soon.

Su
www.airbnb.com/help"

 
If I add taxes in a special offer, booking fees will be calculated on the taxes and I will be violating local code, which prohibits me from adding taxes into my rates. 
 
 
 

OMG I have been on the phone for 10 hrs with their "customer disservice" the worst in the industry. They are belligerent, literally do not know what they are talking about, 10 different answers from 10 people, offshore is a joke. This is my first booking and I know more than they do!Told to use resolution center to collect tax too! Scared to try it thinking of using my paypal.

Interesting idea to use PayPal.  I've been trying to collect from guests in person but half the time I've already given them a 50% discount on it in the pre-trip correspondence and half the time I don't end up collecting anything even then. A few guests turn up, bring it up & pull out the money. Sometimes I prepare an invoice.  But it NEVER feels good to be directly handling cash with them. 

 

HEY AirBnB - why won't you add a "tax input/calculator" onto the booking process, send the hosts the money & leave it to the hosts to pass it along as they are legally required to do.  In my case, it's cut into my revenue about 10%.  I am VERY resentful and completely at a loss as to why you won't explain and/or fix!!!!  

Jeffrey72
Level 2
Concord, CA

On 4/10/2017, I called the Airbnb support number (855-424-7262), and after waiting on hold for 47 minutes, I then had a very long and frustrating conversation with an Airbnb customer service representative named "Jason" regarding this issue.  After getting nowhere with Jason, I then had another long and equally frustrating conversation with "Jace", who claimed to be Jason's supervisor.  They were both in the Tampa FL call center.  Jace, the supervisor promised to escalate this issue, but refused to take ownership and follow through to ensure that something is done to address the issue.  He also committed to send me the name and address of the person in Airbnb who would be the right one to escalate the issue - he has failed to do so.  I told both Jace and Jason very candidly and honestly that if I lose a rental as a result of this web site tax issue, that I am holding Airbnb responsible and that I will take them to small claims court for the full amount of the rental revenue loss.  However, what really needs to happen to get their attention is for all of the hosts that are impacted by this situation to band together and sue them as a class action.  Who's with me? 

I am with you, we need this resolved plus eliminate all the people that have glommed onto this Business, Tax free, Income and Sales tax. They don't apply to their Communities for a variance to operate as B&B's , Rooming Houses, OR Sub-letting, which is quite illegal in many Communities, Parking, and Partying issues ensue. There has to be strict guidelines for this and the only way to do it is to force the issue.

Do we have a Lawyer amongst us who can guide us on how we go about filling a Class action Suit. Gov Cuomo ha already bannned them from NYC

I am, but how do we go about it?

My previous post looks like I'm saying I'm a layer, which I'm not. I was replying to another post that asked "who's with me."

Janine3
Level 6
Toronto, Canada

Writing from Canada, we too would like to comply with tax regulations!  Combined federal/provincial sales tax is 13% -- to recover it after ABB 3% withhold I have to increase my prices 15.5%. I don't want to "bury" that in the rate - which already changes daily, seasonally, etc... .  And as mentioned by someone else, that would increase the fees that guests pay to AirBnB.

 

If Airbnb platform can allow insertion of a host-determined cleaning fee, why can't the platform allow insertion of a host-set tax amount?  (I would unhappily pay their 3% payment processing fee on this amount, it would be so much better than nothing at all).

 

Can we organize a big "strike" til AirBnB amends their system????

 

Janine  

 

I just read last week a article in the Newspaper that AirBnB states it will work with Communities that want them to, on the Sales Tax. Why only certain ones, why not put in the Software a slot for us to put in what our % is for us to fill in, then their is no work on their part and we have our Tax to forward to the State and County.

At the end of the day Airbnb is not a good citizen.  It is an easy fix to put into the web site a box for collecting taxes like HomeAway/VRBO.  I believe the reason they are draging their feet is they want to collect taxes at the city/county level then they can use that cash flow to help finance their business.  The current situation creates tension between host and guest and that is bad for business.  Grow up Airbnb!

I totally agree.  I've tried on numerous occasions to get Airbnb representatives to understand that they are causing extreme ill will between hosts and renters by what they are doing, but they don't listen.  The only way that we, as hosts, are going to get their attention is to sue them.  If any of my guests cancel as a result of me being forced to bill them separately for taxes, that is exactly what I plan to do: take Airbnb to court, and I will win.  However, to really address this situation, we would need a class action.  Again, who's with me?

I want to be included in this conversation and be notified if anything is going to be done. I just got a letter from my county notifying me of the tax code and am very disappointed that there is not an easy way to implement this into our listing and how the total is calculated for the guest to pay. It says specifically that I am responsible for collecting the tax ABOVE the base room rate, so you are not supposed to include it in the room rate (nor do I want to be paying part of that back to the AirBnb fee). Sigh... =( I'm about ready to quit AirBnb =(

Hello Airbnb Community members! I am brand new to hosting on Airbnb and am desperately trying to figure out the collection of Oregon state and local lodging taxes from our guests. We are outside of the Bend city limits and based on my research I need to collect 1.8% for state lodging tax and 8% for Deschutes County. It appears Airbnb collects the 1.8%, but not the 8%. I have spent hours researching this issue and cannot find a straight answer. In reviewing comments on this forum, the collection of taxes sounds like a continuing problem with Airbnb. I have scrolled through many posts but not really seeing any resolutions. I could use advice on this issue as I have a guest who would like to book. I prefer not to incorporate the taxes into the nightly rate. Thanks to anyone who may be able to advise me on this issue. 

Well the problem with adding the Tax to the rate in ANY State is now you are paying the Tax, mostly out of your pocket on a higher rate then you actually got, so you are eating it twice.