Remittance of Occupancy Tax to State and Local municipalities by Airbnb

[Pat-N--Pat0]

Hi All:

Air B&B began collecting occupancy taxes in Arizona on January 1.  We have an account for our payments of the Arizona Transaction Privilege Tax (TPT), however Air B&B does not have that information.  To complicate the issue, we have recently established an LLC to manage our properties.

Who files the AZ TPT Tax Return?

How will our taxes be credited to our account?

Will we get a proof of remittance or receipt to show that our taxes have been received by the State?

A similar post indicates North Carolina has no way to tie an Air B&B payment to the Host.

Thanks, Pat n' Pat

[Maddy5]

Hi,

I am a host of 5 Airbnb's in Flagstaff AZ and have always collected the Occupancy (TPT) tax and paid State and City.

I happy that Airbnb has decided to collect it on our behalf, it was a pain to collect it from each guest. But I am also concerned about

how Airbnb is handling this. Will they give a report to us at the end of each month? (For State taxes) and each quarter? (for City taxes )

to show that they have paid/amount paid?

Any one with more information on how this will work, your commnets much appreciated.

[Cynthia-and-Chris1]

Unfortunately my answer is "I dont know."  What I do know is Airbnb has been collecting and remitting taxes to the state of Washington and the county I live in for about a year now and I've never received any sort of receipt or remittance document to show they are actually paying anyone.

[Maddy5]

Thanks for answering.

That is wild!  They only just started collecting in 2017 for AZ .

I will call Airbnb and ask, then post a summary of their reply.

Very best to you,

Maddy

[Pat-N--Pat0]

Thank you Maddy.  We are anxious to see what you find out!

Pat

[Maddy5]

Hi Pat

Just spoke to Airbnb. They confirmed they are collecting the occupancy taxes for me.

And that there would be no verification or records sent!! They basically asked me to trust that they are handeling it.

I gave them some feedback suggesting that for those of us who have been dutifully paying it for years, having no record or confirmation that it is being paid is asking for a huge leap of faith and maybe they need to build some reassurance/records into the system going forward.

I also thanked them for collecting the taxes as it was a royal pain the arse for me. I then asked about Washington State on your behalf and the guy I spoke to did not want to commit in case he was in error.... seems the wording on Washington State was a little confusing.... but directed you to the Help Center and Occupancy Tax Collection Section. If you haven't already done that...you can click on "location" for information in your area. But again, even if they are collecting it, there is no promise of records, so perhaps they need to hear from a few people that confirmation of payment is necessary/requested.

I hope this is helpful. I asked the guy I spoke with to pass on my concerns to the powers that be.

Very best to you,

Maddy

[Pat-N--Pat0]

Thanks, Maddy.

Our property is in AZ, too.  We need to know what was collected as those taxes are tax deductible.  They are also collecting taxes on our cleaning fee which is correct by AZ law.  I question how our payments will be linked to our TPT number as AirB&B does not have our TPT#.  Our TPT# is tied to our EIN for our newly formed LLC.  I don't think AirB&B has our EIN  and I know they do not have our LLC.

We are Super Hosts again, so I will follow up with AirB&B and will re-emphasize your concerns.  Thanks for your help.  I have faith they will collect the taxes,  just no faith AZ will know who should be credited.

Pat

[Maddy5]

Oh, okay, I got confused but see the problem now. I am also with 2 other websites who collect the taxes but don't remit on my behalf. So it seems strange I will be remitting taxes collected with those two companies and then have no record of what Airbnb is remitting.

Airbnb has Our EIN and company name. It's a Corporation. We filled them in on the tax details we gave a while back.

I can see why you would be concerned that they have your right details on your new LLC.

Cheers,

Maddy

[Samantha90]

Hi, I'm also in WA, and am wondering how you're handling this. I have state taxes due on Tuesday, but there's no indication that the money collected by AirBnB for taxes has been credited to me in any way. I can see the report that shows how much they have collected, but, again, no indication of where that money went.

[Maddy5]

Hi Samantha,

My retnals are in AZ so I'm not familiar with what happens in WA. The other peron in this post lives in WA but has rentals in AZ.

However, I encourage you to contact Airbnb for clarification and to give them feedback (As I have done) as they need to hear from us hosts that we need records of what they are doing and how it is credited to our tax payments for our accounting/tax purposes.

Cheers,

Maddy

[Chris225]

As an AZ host for over 1 year now, the changes in 2017 for taxes seem to be a blessing. However, understanding what is required with this change has been quite difficult.

I understand AirBnB is collecting a paying taxes for us, however, does anyone understand what and how we are to report to AZDOR?

Are we to continue to submit a TPT-EZ or TPT-2 form each month? How do we show that "AirBnB" is paying tax? Or do we just need to report nights that occupancy tax wasn't collected?

I still have a business license (now with city region added for Flagstaff for 2017) and I would imagine that we need to file something. Trouble is I'm having great difficulty knowing what or how to file. AZDOR website hasn't been helpful in answering this question, and I haven't been able to get them to return my call.

[Jeannette-And-Frank0]

my understanding is that we are required to file the ez tpt form with the state of az whether we have in come or not.  you can see the amount collected by airbnb under payout preferences, transaction history.  the lists are of all reservations, dates, amounts, and occupancy taxes.  the question is how do we file and receive credit for this tax with held? 

[Chris225]

It's a great question, and one I've been looking into. I've been told from Tier 2 to expect a call back from AZDOR from the supervisors regarding this.

In the meantime, I've been filing "No Gross Income to Report", as AirBnB has been collecting and paying more Occupancy Tax than necessary on my behalf.

[Nancy-And-Bob0]

Samantha, 

I have the same question. Were you able to find out an answer? I can't see a report that lists how much tax they collected, let alone whether and who they paid it to.

[Rebecca-And-Tim0]

Does anyone know what is happening in PA? 

Airbnb began collecting and supposedly remitting state taxes as of July 1, 2016. PA Dept. of Revenue has no record of any payments made for our property. I have been trying for a week to talk to someone at Airbnb. Two days ago, they told me that my question (which is now getting very urgent as we are going to be fined by the state) would be escalated to their Tax and Legal dept. and someone would be getting back to me soon.

I have heard nothing from anyone at Airbnb. We have been hosting since 2012 and have been Super Hosts for most of that time. We have enjoyed our experiences with so many people from around the world, and I would hate to give this up. And now I'm wondering if I I have to call my lawyer to get any answers from Airbnb.

Anyone have any experience with this? Has anyone actually been able to talk to their Tax and Legal dept.? The person I spoke to wouldn't give me a number -- "they don't take calls" -- but assured me someone would be back to me quickly. This is the third day of waiting.