Local taxes

[Cecelia1]

We are hosting in Arkansas zip 72632.  I'm trying to determine the taxes that airbnb is collecting to submit to taxing entities.   Total tax is 14.375 which includes 3% CAPC tax.  I have tried to calculate the tax that is shown on report but cannot arrive with amounts provided by airbnb.  May you provide the taxing entities and their tax % that airbnb is  collecting so I can reconcile my tax reporting?  Thanks for your assistance.

[Amanda241]

Hey Cecelia! I am new to hosting for Airbnb and I too am trying to understand the % taxed by Airbnb so I can determine the right amount to submit. Also, I am looking into MyLodgeTax Services to help file taxes and make sure we are compliant with taxes monthly. It is $20 a month. Does anyone have experience with this company?? Or other tax entities that are good to use for filing?? Any advice would help. Thank you!

[Paul4]

Airbnb's tax collecting is confusing to hosts who have been previously collecting and remitting taxes on their own. One reason it might not be matching the amount that you think it should is that they add their service fee to whatever taxable amount you are charging. So if you are charging $100 and they are adding a $10 service fee, the tax they report is a little high compared to what you think it should be. It becomes more confusing because you cannot easily tell exactly what the service fee is. If Airbnb is collecting taxes in your area: To simplify your accounting, just consider the proper tax on your own taxable items as being collected and paid by Airbnb. Don't worry about if and what Airbnb is paying on your behalf. Good luck.

[James1102]

Unless you're in Florida and then the level of confusion using Mylodgetax is exponentially greater.    MylodgeTax has "ONE" option.... Revenue Includes tax or it doesn't.   Unfortunately AirBnB collects some of the tax not all of it.   Mylodgetax doesn't indicate which or both were collected.   Clicking assumes all.    How do they manage to mess this up so badly?

[Peter663]

On a related subject, Im guessing that the state portion that airBnb collects and remits isnt the only tax/assessment that you are responssible to pay (at least in my area they are not).  Most areas have other local tax/assessments that need to be charged and remitted to someone other than your state.  AirBnb's options or better yet suggestions for charging and collecting this are not ideal.  I have posted a suggestion to add the ablitiy for a host to add a charge based on the base rate.  Airbnb considers suggestions like this based on community feedback.  If it wouldnt be too much trouble, Id ask that anyone that would like to see this feature please follow this link to my sugggestion and "Like" it so AirBnb knows that this is an issue worthy of its investigation.

https://community.withairbnb.com/t5/Host-Voice/Refactor-AirBnb-tax-charging-or-get-rid-of-it/idi-p/5...

If anyone has question please just ask.

Thanks