Tax - PA, AirBnB, etc
JTVRs
Registered: 6/25/18
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Tax - PA, AirBnB, etc
Jul 7, 2019 11:27 AM
Listing sites are required in PA (including my county) to collect the hotel taxes. We have total 9% tax (6% sales and the 3% hotel tax). So, Airbnb does the 3%. I THINK they do not collect the sales tax, but their website makes it a maze to find clear answers. And of course BDC, FK, VRBO... So does my Ownerrez collect the 6% sales tax part I need to collect when managing each channel? I know I would need to remit, this is just a collection question. |
BlueMtnCabins
Registered: 6/6/16
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Re: Tax - PA, AirBnB, etc
Jul 8, 2019 10:59 AM
In our case, we have 9.75% state and county sales that AirBNB DOES collect, and 3% county lodging that Airbnb DOES NOT collect. What I do, is after guest paid to Airbnb, I crate a "resolution request" on Airbnb for the 3% tax amount. Airbnb does not apply CC fee or service fee to it, but it is a manual process. I think trying to collect tax outside of Airbnb (i.e via billing via Ownerrez) may get you suspended if some guest reports you to Airbnb as it is against Airbnb rules. |
Chris Hynes
Registered: 10/19/12
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Re: Tax - PA, AirBnB, etc
Jul 8, 2019 12:08 PM
Yes, OwnerRez will factor in the tax as you import bookings via channel bridge. First of all, configure any taxes remitted by a listing site as "everything but" on the listing site criteria. So for the 3% Airbnb remits you'd set listing site criteria to Everything but Airbnb. That way it won't be handled as a guest charge. Then you have to decide how you're going to collect the other 6% (and make sure Airbnb's not remitting it). You can either do a resolution request like @BlueMtnCabins is doing, or you can build it into your rates (what I do). Pros to @BlueMtn's method are your rates look more competitive on a search. Pros to building it into rates are that it's simpler and you don't have to do resolution requests for every damn booking. Once you pick a method, go into the channel settings and set the tax to be either added or included in rate. Then when you channel bridge, it'll calculate the correct tax amount. I have heard of some folks just sending a payment link instead of a resolution request, but I'm not sure on the Airbnb policy on that -- their policies seem to change every day depending on who you talk to. |