room taxes

Andrea164
Level 3
Manchester, CA

room taxes

How and when is the room tax addressed/assessed?

1 Reply 1
Dede0
Level 10
Austin, TX

@Andrea164 It depends on the laws and policies of your location. In some locations, AirBnB is required to collect and remit the taxes (or levys, or fees, whatever they get called). In other locations, such as our listing in Austin, Texas, AirBnB doesn't have to collect/remit them, so that's left to the hosts. We don't try to add the taxes in as an after-the-fact charge to guests (way too complicated and, especially, off-putting for guests). Instead we, knowing that we'll have to pay a total of 15% tax (9% city of Austin, 6% state), simply set our rates with that in mind. We keep our rates competitive, but we still pay our taxes. Some hosts in the area try to fly under the radar and not pay their proper taxes. As we see it, they're not only breaking the law and cheating both the city and the state, but they're also ripping off all the hosts whose prices take the taxes into account.