Airbnb - Enabling Pass Through Taxes

Owned by Ryan Beagley-Reiner
Last updated: Dec 13, 2023
5 min read

Instructions for configuring Airbnb Pass Through Taxes

Overview

What are Pass Through Taxes?

The Pass Through Tax feature from Airbnb allows properties in some locations to show taxes broken out as line items, at checkout, instead of those tax amounts being bundled into the rent & fees. The benefits of this are that this tax is not subject to Airbnb commission, and it makes for easier and cleaner tax collection.

If you are currently in Implementation, your Implementation Specialist can assist you with enabling Pass Through Taxes.

If you are already live on Airbnb, you will need to follow these instructions or contact our Support team for assistance.

Getting Started

Before Configuring Taxes

There are 2 options for managing taxes on your Boost connection to Airbnb: Default Tax Mapping and Pass Through Taxes. You tax status on Airbnb determines you eligibility for Airbnb Pass Through taxes. Every individual property has its own tax status based on location. Generally, if there are any taxes that Airbnb does not Remit (pay) for you, you can enable Pass Through Taxes in Boost, if eligible.

  1. Determine if Airbnb collects and remits taxes on your behalf. Related Airbnb Article: In what areas is occupancy tax collection and remittance by Airbnb available? - Airbnb Help Center

  2. Determine Eligibility: If Airbnb does not collect and pay all of your taxes, then determine if your listings are eligible for Pass Through Taxes. Read this article for more information: Airbnb - Am I Eligible for Airbnb Pass Through Taxes?

Airbnb Help Center Articles on Tax Collection:

 

Need Tax Help?

If you are unsure on what taxes (if any) are collected by Airbnb in your area or if you are eligible for Pass Through Taxes, we suggest filing a ticket with Airbnb support and consulting an accountant or tax professional.

If you do not know your TOT or tax ID, you will need to talk with your accountant and we recommend you do not enable pass through taxes until you have this information.

Create a support ticket with Airbnb by logging into your Airbnb Host account and going to the Home - Airbnb Help Center , clicking Contact Us (usually at the bottom of the page).

 

How To Enable Pass Through Taxes

You will need your Business Tax ID and TOT number to configure Pass ThoughTaxes.

Step 1: Enable Pass Through Taxes

Log-in to Boost and Navigate to the Channel Settings tab on the Airbnb Channel. Toggle on Enable Pass Through Taxes. Check the box next to Enable Pass Through Taxes.

Step 2: Enter Business Tax ID

After enabling pass through taxes, enter your Business Tax ID in the appropriate field. This is the tax identification number for the business entity reporting these taxes. Business Tax ID is required for Pass Through Taxes to work.

Step 3: Mapping and Confirming Tax Info

Navigate to the Tax Mapping section in Boost where you will map the appropriate taxes to Airbnb, fill out specific information pertaining to each tax, and agree to a tax attestation for each tax.

  1. Map each tax to the corresponding Airbnb Tax Category - What the tax is classified as. Note: For any tax that Airbnb collects and remits, select “- Do Not Send -” in this tax mapping view.

  2. TOT Registration ID - The ID number that you receive from a jurisdiction when you register to collect, remit, and report the applicable tax.

  3. Long Term Stay Exemption - A length of stay (in number of days), the tax does not apply to stays longer than this.

  4. Attestation - Read the attestation and check the box confirming you agree. 

  5. Click Submit

Step 4: Run the Import/Sync action in Boost on all properties

Make sure this Job has completed successfully. Learn how to check Jobs in Boost: Jobs Queue (Boost New UI)

Step 5: Confirm Taxes are Correctly Applying

Now that Pass Through Taxes have been enabled and the Import/Sync job has finished, the user can confirm taxes are applying correctly in either their Airbnb host account or in Boost.

How to Verify Pass Through Taxes in Boost

  • How to Check All Properties Airbnb Tax Status in Tools:

    • From the Boost Listings page Click on 'Airbnb' in the breadcrumbs on the top left

  • Click on 'Tools' and then click on the tab 'Airbnb Tax Status' to see all properties and their pass through tax eligibility.

  • How to Check the Airbnb Tax Status on an individual listing:

    • From the Listings Page Select a listing by clicking on the name of the listing

    • Scroll down to 'Channel Info' section to see the pass through tax info for that particular listing

Any property that says 'We have no information from Airbnb about the pass-through taxes for this property.' for pass through taxes HAS NOT BEEN CHECKED, and the user should use import/sync on this property to force the check.

  • If the check has not been performed for a property, and it has taxes enabled, then the taxes will still be bundled into the fees and rent. So taxes should still be correct in PMS.

 

IMPORTANT! Speak to your accountant.

Because tax laws, registration and identification are different for every country, state, city and jurisdiction, we do not have access to the resources for more information. You MUST speak with an accountant/trained professional.

If you do not know your TOT or tax ID, you need to talk with your accountant and we recommend you do not enable pass through taxes until you have this information. You can still enable, and add n/a to fields, but we are not responsible for any action from Airbnb or tax authorities if you do this.