Terms of Service - Update 2019 Pass-Through Tax Feature

Kimberly268
Level 2
Cypress, TX

Terms of Service - Update 2019 Pass-Through Tax Feature

Hello all!  As a new host, I have been frustrated with not being able to collect my local Hotel Occupancy Tax (HOT) as a seperate fee.  Currently, Airbnb is collecting state level taxes, but not the HOT. Looking at the new term sent this morning, the text reads:

 

"In other jurisdictions Airbnb may decide in its sole discretion to collect Occupancy Taxes and remit such Taxes to eligible and qualifying Hosts, based on tax information supplied by the Host, for ultimate reporting and remittance by such Host to the Tax Authority (“Pass-Through Tax Feature”). Such Hosts using the Pass-Through Tax Feature will be solely responsible for informing Airbnb about the correct Occupancy Tax amount to be collected from the Guest in accordance with applicable law and directly remitting the Occupancy Taxes to the relevant Tax Authority."

 

Does anyone know if this is this a change that will allow hosts to collect thier local taxes?  

2 Replies 2
Amy-and-Brian0
Level 10
Orlando, FL

@Kimberly268 - We rent in a similar situation with regard to AirBnB reservations - the state taxes are collected and paid for us but local/county taxes are not. We are still on the hook to the county for them, however, and pay them each month directly to the county. It's a cut out of our profit but we build them into our prices.  

I don't see anything that allows us to choose or not the Pass-Through taxes. They just are.

I've taked to several tax people at the county and state level and the taxes from Airbnb are set up with contracts directly with the state/county. It just so happens our county won't do that contract (for various stupid reasons IMO) but the state did.

The only way to know if your county did that contract is to contact them regularly or pay attention to the news or sign up for alerts from them. 
If your county won't do a contract, you can also just go to counsil meetings and bring it up...or vote for someone who wants to do that contract.

That's about it tho as far as I can tell.

 

That is my understanding  of the current situation too, but the email sent out by Airbnb this morning, had a link.  The page said: 

 

"We updated the Terms of Service to reflect new types of services available on Airbnb (such as Pass-Through Tax Feature, Experiences Guest Refund Policy)."

 

https://www.airbnb.com/home/terms-of-service-event

 

I was hoping for more clarification.