Airbnb reveals collection of US $1 billion in global hotel and tourism tax

Worldwide: Home-sharing platform Airbnb has announced that it has collected US $1 billion in global hotel and tourism tax (TOT) to date.

The San Francisco-based company has so far established global partnerships with more than 400 governments around the world from whom to collect and remit taxes.

Via a press statement, Airbnb said: “At Airbnb, we’ve made the commitment to treat every city personally and help ensure our community pays its fair share of hotel and tourist taxes (TOT).

“Home sharing democratises revenue by providing an increasingly valuable source of funding for governments around the world. When Airbnb collects and remits hotel and similar taxes on behalf of our hosts, we help ensure a streamlined process that lightens the administrative burden for hosts as well as state and local governments,” it added.

In addition to key states in the US, Airbnb has in recent years collected and remitted tourist taxes in a host of communities across Europe, such as Amsterdam, Dortmund, Florence, Lisbon, and Milan. In 2018, the home-sharing rental platform has also collected TOT in 23,000 cities in France.

Mayor of Jersey City in New Jersey, Steven Fullop, endorsed his city’s continuing partnership with Airbnb and emphasised the benefits of the company’s partnership with other global communities.

He said: “We have seen [Airbnb] be a key partner, helping us on the revenue front with dollars similar to what the hotels pay. It has helped us in Jersey City with police, with fire, with services and I do believe that this is the way of the future as it’s another outlet for families.

“It’s attracted visitors to different neighbourhoods that they wouldn’t normally go to. The Airbnb solution that we have here has worked really well for us,” he added.