Sales and Use Tax and Occupancy Tax: Do we pay both?

Question

I've gotten my first quarterly "pay your local and state taxes" statement for our Sales and Use # that we established for our Airbnb business. Occupancy taxes for Texas (6%) are already collected by Airbnb on our behalf. However, should I be paying the 8.25% Texas Sales and Use tax on top of that as a vacation rental owner?

Thanks!

Ashley Wolfe · Answer

@Cheryl Vargas and @Jim CummingsMy CPA said she found nothing saying we need to pay both sales tax and occupancy tax here in Texas.Here is a Get Paid for Your Pad podcast about taxes: https://getpaidforyourpad.com/podcast/airbnb-taxes-in-2019-explained-ep272/

I'm listening to this episode right now.

Of course, an email to your specific CPA would also be recommended. Please share if you find out additional info!

Ashley Wolfe · Answer

@Cheryl Vargas @Jim Cummings

I’ve emailed my CPA. So we’ll see what she says and I’ll update the thread.

Cheryl Vargas · Answer

Great to hear! Thanks!

Jim Cummings · Answer

@Ashley Wolfe, & @Cheryl Vargas.

Sounds like a question for your CPA / Tax Preparer?

Cheryl Vargas · Answer

I’m interested in knowing about this too!

Thanks for posting this question, Ashley. Can’t wait to hear some responses!

Sales and Use Tax and Occupancy Tax: Do we pay both?

5 Replies