Accommodation taxes wrongly collected on 31 night rentals in Tennessee

[Janet1405]

I'm nearing year 3 trying to get this resolved, and I would like help as to who specifically to speak with to get two listings that I have, corrected. Both listings say 31 day stay minimum and most all of my bookings are over 31 days.  

I've reached out to AirBnb CS and to no avail this just continues.

My guest's are charged accommodation taxes that should not be collected and remitted and I'm frustrated that something so simple is not being corrected. 

Any help in directing me is greatly appreciated. VRBO is doing the same thing. 

I'll attach a photo of the latest booking that this has occurred on. 

[Janet1405]

[Kia272]

@Janet1405  I'm asking with genuine curiosity, why do you think that your guests are not supposed to be paying occupancy (or lodging) taxes? Most jurisdictions require this, and AirBnB collects and submits them, as does VRBO. 

Is this not required where you live? Hotels charge them as well. 

It's just not clear to me what you think is wrong, and what you're trying to get corrected. Is it because your stays are over 31 days and you think these taxes are not supposed to be charged for long-term stays? 

[Rebecca]

Hi @Janet1405 👋

It's been a little while since you posted and I wondered if you had an update regarding your query?

Looking forward to hearing from you. 😊

[Lorna170]

According to Tennessee law, accommodation taxes are applied to rental properties as follows - no mention of “more” than 31 days:

BUS-38 – Rental of Real Property

If residential property is rented or leased for long-term residential purposes, the income generated from those leases is not subject to business tax. However, the short-term rental (180 consecutive days or less for business tax purposes) of vacation lodging, including a person’s home, is subject to business tax. The property owner, or property management company, if one is used, must pay business tax on the total gross receipts from the rental. The gross receipts from the rental includes all fees collected for the rental, as well as any other money that a consumer must pay in order to rent the accommodations (e.g., non-refundable pet deposits, required cleaning fees, property damage protection fees, etc.). The property owner or property management company must register in the county and city in which the property is located as a Classification 3 taxpayer.

Reference: Tenn. Code Ann. § 67-4-702. Tenn. Comp. R. & Regs. 1320-04-05-.24 and 1320-04-05-.41. Important Notice 17-25.

[Kia272]

@Lorna170  I saw exactly the same thing. That's why I tried to ask the OP what her concern was, but no response. I'd hate to find out that I'd spent three years trying to get something corrected that wasn't wrong in the first place. Especially dealing with AirBnB, where even getting the simplest thing resolved can be really frustrating.