Airbnb to begin collecting San Fran hotel tax

Starting October 1, Airbnb will collect San Francisco’s 14-percent hotel tax from visitors who book apartments or rooms in the city—a move that could add more than $11 million a year to city coffers, reports SF Gate.

However, Airbnb, valued at a reported 10 billion, has not address whether it will pay back taxes for the six years it has been in business.

“Our community members in San Francisco have told us they want to pay their fair share and the overwhelming majority have asked us to help,” David Owen, Airbnb head of public policy, wrote in a blog post. “In the past, it’s been difficult for individual hosts to pay taxes that were designed for traditional hotels that operate year round.”

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Like hotels, Airbnb will add the “transient occupancy tax” as a new line item for visitors, just as hotels do. For instance, an apartment that goes for $200 per night will now cost $228 with the 14-percent tax tacked on.

The move comes as San Francisco wrestles with proposed legislation by Supervisor David Chiu to legalize and regulate Airbnb.

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