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

[Jeannette-And-Frank0]

hello rebecca and tim.  i am in az.  i spoke to someone in finance at the az. dept. of revenue.  i was told that i did not need a  tpt to operate a rental as long as airbandb was collecting and remitting the taxes on my behalf.  and i was not renting on my own.   you can view the taxes collected in your account section.  i have printed all taxes collected on by behalf and have them in a safe place.  this is your proof.  hope this helps.  jeannette and frank

[Maddy5]

Hi Folks,

I have heard from my accountant that Airbnb is paying the occupancy tax but paying it short. It's supposed to be 10.951% for AZ and they are apparently paying on 10%. Also they are not paying taxes on cleaning income which AZ requires. So I have to pay the shortfall. I am goingto contact Airbnb and ask them they are saying, "We take care of the occupancy taxes for you now" and then leave a shortfall. 

Is anyone else experiencing this?

Cheers,'

Maddy, Host in AZ

[Brian_Susan0]

Wow! I am so surprised at the answers that people are getting from Airbnb. They obviously see these posts. Why won't they support us? I am new to Airbnb with  a house in Flagstaff and rentals are picking up fast. I finally looked at one of my rental emails and noticed thetax was taken care of. So I have a call in to my accountant to see what she can find out about this tax. If Airbnb is not taking the correct amount out, then that will need to be fixed.

[Maddy5]

Yeah, I am usually SUPER impressed with Airbnb customer service but on this issue they are very disappointing. Sad to say it but it might take an article in an Arizona newspaper to get them moving or at least communicating to us on this one. 

[Jeannette-And-Frank0]

update on dept of revenue and airbandb.  i received a notice from dept. of revenue today saying that my 1/4ly taxes were not pd and there is a small fine involved.  i am sending them a copy of the accounts page posted on airbandb. it clearly shows how much and when taxes were collected on my behelf.  maybe it would be smarter to change to a yearly remittance.  anyway i will post when i receive more info. 

cheers,

jeannette and frank

[Brian_Susan0]

Jeanette,

Thank you for the heads up. We are new to Airbnb and we were concerned as to how Airbnb would be paying the taxes. 

Brian

[Jeff292]

I recently moved my listing to Air B&B from VRBO where they alloed me to collect and remit state taxes.  Air B&B just informed me that they will now be collecting and sending the taxes for me.  I failed to file a qurterly last year (because I had a quarter that I did not have anything to report) and Tennesse hit me with a notice of non payment.  I paid the $15 late filing fee and filed a $0 amount.  I have notice I have the option to check a box on my tax file that I am no longer in business.  I am considering doing this now that Air B&B will be filing for me.  I don't see any other option since I won't have anything to report. 

[Paul_Cindy0]

I'm being told that I need to file a TPT return even though Air B&B is taking out the taxes.  I've spoken to the State, city office and a some very non helpful people at Air BnB.  The return has no place to indicate the amount already paid to air BnB.  When speaking to the State of AZ they said there is no tax amount due to the State for rental space in my home, yet air BnB is taking that amount from the clients.  Return is due and I still have no answers as to how to complete the form.  It is worrisome that I'm unable to get assistance from Air BnB and have spent so much time on hold for their tax department only to have the phone calls abruptly disconnected.

[Jean210]

Just got my first payment and realized my listing isn't showing the local/state occupancy tax.  What do I do?