Here is what I'm seeing alot. Most New Hosts never check what taxes apply to their listing and assume Airbnb is collecting all required taxes when they aren't. More and more local jurisdictions are adding taxes to STRs and Airbnb isn't automatically collecting them. Another issue is the Host is paying a local excise tax, unaware that Airbnb is also collecting and paying it. Airbnb pays all local taxes in a lump sum and doesn't identify amounts or Host name to the taxing authority. The Host finds out they should not have been paying the local tax themselves and request a refund, only to find out there is no way to actually prove taxes were paid in their behalf and are identifiable by individual Host.
Yeah taxes are definitely a confusing area that a lot of hosts get wrong out of the gate. Definitely always best to check with your accountant before launching!
Thanks this is great I like your videos. I’m in the UK, I have a property near the airport so I need to offer 1 night stays for layovers. I’ve been a host for a while and the other places are always 2 nights. What would you do as the cleaning fee hurts for one night.
Yeah that makes sense -- unfortunately you'll just need to work that into your pricing and naturally, 1 night stays will become quite a bit more expensive "per night" than longer stays. Getting a really affordable cleaner will help, but you need to ensure quality above all else.
@ thanks ☺️ yes I was thinking that through as I wrote the question today and luckily have a decent cleaning rate. I agree with you and thanks for your wisdom. 🙏🏽
Here is what I'm seeing alot. Most New Hosts never check what taxes apply to their listing and assume Airbnb is collecting all required taxes when they aren't. More and more local jurisdictions are adding taxes to STRs and Airbnb isn't automatically collecting them. Another issue is the Host is paying a local excise tax, unaware that Airbnb is also collecting and paying it. Airbnb pays all local taxes in a lump sum and doesn't identify amounts or Host name to the taxing authority. The Host finds out they should not have been paying the local tax themselves and request a refund, only to find out there is no way to actually prove taxes were paid in their behalf and are identifiable by individual Host.
Yeah taxes are definitely a confusing area that a lot of hosts get wrong out of the gate. Definitely always best to check with your accountant before launching!
Thanks this is great I like your videos. I’m in the UK, I have a property near the airport so I need to offer 1 night stays for layovers. I’ve been a host for a while and the other places are always 2 nights. What would you do as the cleaning fee hurts for one night.
Yeah that makes sense -- unfortunately you'll just need to work that into your pricing and naturally, 1 night stays will become quite a bit more expensive "per night" than longer stays. Getting a really affordable cleaner will help, but you need to ensure quality above all else.
@ thanks ☺️ yes I was thinking that through as I wrote the question today and luckily have a decent cleaning rate. I agree with you and thanks for your wisdom. 🙏🏽