Sales Tax Collection

[Brian202]

Does anyone else have a problem with Airbnb collecting and submitting our sales tax?  How can I be certain it was done accurately and on time in order to avoid my paying a late fee and or fine?  This also creates an accounting problem for me as now I must keep a seperate set of records for Airbnb vs other rental services.

[Cynthia-and-Chris1]

The good news is it's no longer "your" sales tax to worry about because you are no longer collecting it from the guest.  Because Airbnb is now collecting it from the guest directly, it is now "Airbnb's sales tax" and THEY are responsible for worrying about if they are collecting and remitting the correct amounts.  The state/city/county would come after THEM if they're short, not the host. They remit one big payment to the regulators instead of a bunch of small payments for each host.  This means you wouldn't be keeping two books - you'll only be keeping one book - the book for all your rentals OUTSIDE of Airbnb. 

[Annette33]

@Brian202 , yes, I would keep 2 different sets of records. can't be too difficult, right? It is my understanding that Even though Arbnb submits the taxes on our behalf to the authorities, We still  need to file the reports , thus I need to have numbers to fill in......but I will use a  deduction code for the whole amout of taxes due on my Airbnb rentals, with the reference that Airbnb paid them. Here in AZ the agency gave me the deduction code for that over the phone. As it is a new system this year, there is still uncertainty about it, how exactly it works. I postponed worrying about it for now, as  I only signed up for yearly reporting, not doing that many rentals.

Good luck!

[Ginger18]

Indeed - how do we definitively find out - from AIRBNB - whether or not they are collecting sales tax from guests and remitting the appropriate amount to the appropriate governing agencies? and what responsibility do we have beyond that?  This does not seem like one of those topics we should be speculating about - but rather it is one of those topics where we should have firm, definitive answers from Airbnb.  Has anyone gotten that from Airbnb and if so, what say you?   Do they collect sales tax and remitt appropriately?

[Rebekah2]

I received the letter from Airbnb indicating they would start collecting sales tax.  However, I never saw any indication that they had actually started that process, so I have also been paying sales and lodging taxes.  How can I find out when they started this process, and I wonder whether I should approach the Dept of Rev and ask for a refund.  Any advice would be helpful.  Thanks.