I own a vacation rental and list on AirBnB. AirBnB should pay the taxes. AirBnB is not a simple directory of houses/apartments/tents for rent. They are a "reseller" or maybe "re-renter" of houses/apartments/... For example you may charge $100 a night but AirBnB sells your property for like $125 a night. Is the host supposed to pay taxes on the whole $125? Really the guest is not even renting from the host. The guest is renting from AirBnB. The guest pays AirBnb not the host. When a guest pays AirBnb keeps the money until the guest arrives and pay you at their discretion. If there is a problem and the host wants some of the guest security deposit. The host has to ask AirBnb for it and AirBnb determines how much the host gets. A host can't even email the guest or get their phone number until AirBnb allows. As a host you are a supplier to AirBnb and suppliers in general do not have to deal with taxes. If you buy a coke from a gas station, the gas station is responsible for paying local taxes Not The Coca-Cola Company.
Actually Coca Cola pays taxes on its income just like you do.
But I'm interested in the broader point you're advocating for... Why do you care if AirBnB pays the taxes instead of you? Unless you think the renters are going to suddenly start paying more (unlikely), you're taking it on the chin at some point, either in the form of reduced income for you when AirBnB starts taking a cut, or in the form of reduced demand when AirBnB raises prices across the board and guest demand is decreased.
I said "local taxes". Sure Coke pays income taxes but they do not pay sales tax in every place where coke is sold. Reduced income when AirBnb takes a cut? They take a cut. On both sides.
They reason why Airbnb should pay taxes is they are the ones actually selling. Not the host. When you buy something at a grocery store. The store charges sales tax and they are responsible for sending it to the local tax people. The supliers may have to pay income tax but sales tax is paid by the seller.
This is not correct comparison. Since you provide services locally you should know local laws and tax code. AirBnB just provides a platform for you to provide the services, but I don't see how it is feasible for them to ensure that each their service provider follows all laws in each location.
How about this comparison. When/If Amazon starts paying California, Virginia, ... state sales tax, Amazon will be responsible for collecting and sending it to the municipalities. Not the publishers, authors, or manufactures of the stuff they sell. When people buy things on Amazon.com they are Amazon's customers. Not Wrox's or O'Riley's.
You are confusing income tax with "hotel tax" and "local sales tax". For example some states charge a separate hotel tax, and some counties charge "lodging/entertainment taxes" These taxes are calculated based on the nightly rental rate charged to the customer. Not what ever amount AirBnB turned over to the host.
