Tax disclosure and FX charges

[Steve306]

I manage several villas in the South Of France on behalf of owners; I do all their marketing and collect the rental income which after expenses are deducted, it is paid directly to a variety of accounts in France, UK and some tax havens as directed by their accountants.

What needs clarifying for my clients, is what information / financial data do Airbnb actually disclose to the respective Tax authorities and what are the exact FX charges /fees deducted for transferring monies collected and paid into a bank account. Example: Euros collected paid into a £Sterling account. It appears nothing is disclosed, this I believe is illegal in the UK / EU. You just can't deduct an amount without disclosing how it's calculated. 

[Gerry-And-Rashid0]

@Steve306

Hi Steve - my immediate answer would be this is the accountants responsibility as they are the experts in this field (or at least should be). They are paid to ensure local, national an international tax laws are applied to your clients properties.

[Gerry-And-Rashid0]

Also meant to say that if you have the stamina to wade through the T\Cc you will see how exchange rates are calculated 

[Steve306]

Thanks, I will have a go! 

[Steve306]

They want to know what Airbnb is disclosing and to who, it's a reasonable request, like wise what are the FX charges and fees why can't we access them easily.  Tax planning is complex, so owners and their accountants need to know what if anything is being disclosed by Airbnb. AirBnb its self is  no stranger its self to tax avoidance, see this recent excerpt from a Guardian Newspaper report.

"It was revealed this week that Airbnb paid less than €100,000 (£90,336) in French taxes last year, despite the country being the room-booking firm’s second-biggest market after the US.

In response, the French economy minister, Bruno Le Maire, informed the national assembly that the EU’s Franco-German axis would be proposing a pan-European clamp down. “These digital platforms make tens of millions of sales and the French treasury gets a few tens of thousands,” the minister said, adding that the current setup was “unacceptable”.

This clamp down could affect all current hosts, particularly in France and Germany, so it's important to find out what is being disclosed now.