5 steps to managing lodging tax compliance

Lodging tax might appear straightforward, but anything from your property’s physical location to your booking channels can impact the tax you owe.

Avalara has created a five-step guide to help you stay on top of tax compliance — and out of an audit.

Our comprehensive checklist will cover tips like:

• Researching lodging tax obligations: No matter whether you have one Airbnb or dozens of short-term rentals, you need to know the tax rates and rules for each jurisdiction to make sure you’re charging the correct tax. And if you list properties through rental marketplaces you’ll have to keep track of taxes charged on those platforms too.
• Registering with state and local tax agencies: For most properties you manage, you’ll have to register with the state, city, and county — or a combination of those agencies. Each property requires accounts in good standing and a license renewal each year.
• Filing and remitting state and local lodging taxes: You’ll have to manually report and remit lodging tax for each property you manage, and make sure you file taxes for any OTAs that list your properties.

As the short-term rental market continues to expand, enforcement of tax compliance is more rigorous than ever before.

We’ll give you all the tools to tackle compliance — and offer help if you need it.