Transient Occupancy tax

[Curt8]

This website is confusing. We have to collect a 12% Transient Occupancy Tax from any guests that stay 29 days or less. I can't find a place to add that fee. The only option is a cleaning fee. It says I have to send a "special offer". Why in the hell should I have to send a special offer to collect the tax? I have put it in the listing details that we have to charge and collect the tax for our city. However, in my experience with VRBO, most people don't read that and ask the question anyway, even though it is on a quote that is sent to them. And there is no place to contact Airbnb itself, to get an answer. 

[Donna37]

You can adjust your daily rate to inclute the 12% I think.

[Meagan1]

No, you can't.  This happens to be an area where Airbnb is seriously lacking.  VRBO lets you input your % TOT and then it's there, accurate with every booking.  Airbnb is behind the curve on this one.  Seriously.

[Danika2]

Yes, I agree. But we just charge a few more bucks and deal with it.

[Louis27]

If you add it to your rate, then Airbnb is collecting a commission from you and the guest. That is unethical and unfair!

[Tracey76]

I agree - I prefer this to be resolved as an independent category - as I understand Airbnb charges based on rate (apparently including Cleaning Fee? you need to cover), but I am new to this and finding a few things required such as Seasonal rates.

[Danika2]

Yes.. but it is what it is. We just add on a few extra bucks , pay the county and deal with it.

[Derek6]

If Airbnb isn't collecting and remitting the tax for you (as they do in Portland where I live) you'll just have to pay the tax out of your earnings.  If you make 100$, you owe the city 12$...if you want to make 100$ you need to charge about 114$.

[Meagan1]

Yes, that's correct.  And a terrible problem.  The added "fee" then calculates as higher income earnings which then means you pay higher tax - just in order to collect TOT.  

It's a non-functioning part of the Airbnb model/platform.  They need to correct that and do it the way VRBO does, provide an input field for us to add our TOT % so that it's correct with each and every booking and easy to explain if audited.

[Louis27]

Airbnb doesn't seem to be willing to collect the tax until forced to by local law. They are happy to pocket the commission from host and guest. They used to tell us to collect it in cash, but apparently that has changed recently!

[Danika2]

I too wish airbnb had a place for us to add it to our listings, but I am thankful to be doing so well because of airbnb. I make the adjustment, pay the county and live with it. I personally think the tax is ridiculous. The county and state are the money hoarders in my opinion.

[Louis27]

Well that sounds nice, but I do over $50,000 a year in rentals. That's a large chunk to pay out of my earnings, especially since Airbnb is collecting a commission from me and the guest. This is not fair!

[Danika2]

Exactly right! Not a big deal. Although I wish there was a place to add it to our listings.

[Linda108]

The TOT in La Quinta is 10%.  Currently I include it in my rate and remit to the City every month.  However, effective September 1st, Air BNB will begin to collect the tax and remit directly to the City.  I don't know how this arrangement came about as usually such a process is in place in much larger cities. 

[Jeanne-and-Bruce0]

I would love to know how La Quinta managed to have the tax collected & remitted to them instead of you having to do it. I live in Chico, CA and our city recently began charging a 10% TOT to short term rental hosts and we have no option but to collect it ourselves. I'm still struggling with how I want to do it...