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Airbnb to voluntarily collect Idaho taxes, December 2016

 Airbnb to collect occupancy tax for Idaho hosts beginning December 1, 2016.

Airbnb has entered into a voluntary collection agreement with the Idaho State Tax Commission. As a result, beginning December 1, 2016, Airbnb will collect all applicable Idaho occupancy taxes on behalf of its hosts.

Currently, hosts are responsible for collecting and remitting taxes on all short-term lodging in Idaho, defined as stays of 30 days or less. Applicable taxes include Idaho sales tax, travel and convention tax, and, for rentals located within the Greater Boise Auditorium District, a special district tax.

According to the Idaho Tax Commission, “Hosts will no longer be responsible for collecting these taxes and will not be able to opt-out of collection by Airbnb.” However, hosts will still be required to collect and remit all applicable taxes on any short-term rentals booked through other methods or platforms. Additional information is available from the Tax Commission.

Airbnb has been working with state and local governments to facilitate tax compliance for its hosts. In some areas, such as Illinois and Vermont, these efforts have been successful. Yet tension remains in others, including New York and San Francisco, where the company may be held liable for actions of the host (e.g., not registering as a business or collecting tax). For Airbnb, facilitating tax collection is a way to stay on the good side of the taxman (and, by extension, other government officials).

Tax compliance is a necessary, if unwelcome, part of running a hotel, inn, or vacation rental.  Automating lodging tax facilitates compliance in all states. Learn more.

photo credit: OuiShare Summit 2012 via photopin (license)

Gail Cole
Avalara Author
Gail Cole
Gail Cole
Avalara Author Gail Cole
Gail began researching and writing about sales tax in 2012 and has been fascinated with it ever since. She has a penchant for uncovering unusual tax facts, and endeavors to make complex sales tax laws more digestible for both experts and laypeople.