9 Replies Latest reply: Nov 27, 2018 2:54 PM by homeaway_community_manager RSS

    Will VRBO be changing tax settings soon?

    harrytammie Contributor

      Will VRBO be changing the tax settings so the Florida state tax will also be reflected and collected in traveler's total?

      As everyone knows it's very uncomfortable for the owner to contact the traveler after they have book and add the "by the way, you owe more"sentence.

      And figuring it into the daily rate is not a good option.

        • Re: Will VRBO be changing tax settings soon?
          ohst8er Senior Contributor

          HI harrytammie, the Florida tax collection thread is here. florida tax collections You will probably want to keep your questions in that thread rather than starting a new one.  I am only loosely following that one, my VR is not in Florida, however historically it seems that VRBO ONLY collects the taxes that the state asks them to collect, and if the state DID NOT ask them to collect the FL state tax then the answer will be no. 

            • Re: Will VRBO be changing tax settings soon?
              harrytammie Contributor

              Hi. Thanks for the reply. I've read thru the other threads and not found the answer to the simple question from an admin.

              VRBO used to include all taxes, including state tax on the payment schedule and we got it all with traveler stay amount, now they only include the "stay tax" that they include, keep and pay on our behalf.

              The last time I asked the question to several vrbo reps, I got several answers. I was just hoping after a few months have gone by, they'd work it out.

            • Re: Will VRBO be changing tax settings soon?
              moosebigd Contributor

              My husband handles the financial aspects of our condo, so excuse me if my thoughts seem naive about the rental industry...  All we want is HA/VRBO to provide a market to advertise our condo.  Period.  We can provide photos for the listing, details of what is available, communicate/book potential guests, keep a calendar, collect rent and security deposits, pay our own taxes, etc., etc.  We can do it ourselves!  We are paying HA/VRBO to advertise.  If we did it the old-fashioned way and paid to put our listing in the classifieds of a newspaper, the newspaper wouldn't provide anything beyond that.  The newspaper would not collect and pay our taxes.  I've said this before... VRBO needs to return to its original premise...Vacation Rentals By Owners...  where they advertise and we manage our own properties.

                • Re: Will VRBO be changing tax settings soon?
                  ohst8er Senior Contributor

                  TThe question I have is, who’s driving this, VRBO or the locales?

                    • Re: Will VRBO be changing tax settings soon?
                      margaret CommunityAmbassador

                      ohst8er When ABB began collecting and remitting taxes it was driven by the locales. As I understand it, ABB fought it for quite some time before eventually agreeing to it. I believe the reason the locales felt it was needed is due to ABBs refusal to add a tax line item. When I spoke with the state tax authority office in S.C. when ABB began collecting there, I was told the state was requiring it and that they were anticipating a huge increase in the amount of tax they would be receiving. If this information is correct and they did in fact see a sizable increase in revenue, it is probably being driven by the locales.

                    • Re: Will VRBO be changing tax settings soon?
                      homeaway_community_manager HomeAway Employee

                      Hi moosebigd,

                       

                      While we understand and appreciate that there are some owners who long for our previous business model, HomeAway/VRBO has not been an advertising venue in a few years now. We've changed our business model to that of an e-commerce platform. We will not be going back to being an advertising only platform. Thanks so much!

                       

                      Erinn

                      HomeAway Community Manager

                    • Re: Will VRBO be changing tax settings soon?
                      harrytammie Contributor

                      While I appreciate the feed back, and an interesting thing came up, as I didn't realize one could use vrbo strictly for advertising and handle all bookings by owner, does this work better for you? are you garnering more bookings?

                      I was told when vrbo began collecting and quoting ONLY  the stay tax ( local bed tax) that after a few months they would work out the bugs in the settings so state sales tax would be included in the quote and collections.

                      Well, it's not and it's very inconvenient.

                      • Re: Will VRBO be changing tax settings soon?
                        homeaway_community_manager HomeAway Employee

                        Hi Everyone,

                         

                        Please see this thread for more information. Thank you.

                         

                        Erinn

                        HomeAway Community Manager