Travellers save more than one third on Airbnb for lower tax bill

Published on : Wednesday, January 4, 2017

airbnbNot only for the frugal travellers, new research shows that choosing Airbnb over traditional hotels is a tax advantage as well. Around one third of the savings the company offers customers on accommodation in London comes from having a lower tax bill.

 

Traditional hotels have to pay expensive business rates on its property and it eventually increases the cost of entire stay. However, the small businesses have a much lighter taxation regime. the Airbnb service only charges VAT on its service fees. This is why an average hotel room costs $41.30 (£33.60) in a night tax as compared to an average Airbnb stay at just $8.40.

 

 

Airbnb said in a statement that the overwhelming amount of money generated by the Airbnb platform stays with hosts and their communities. The Airbnb model is unique and empowers regular people, boosts local communities and is subject to local tax. It also makes Airbnb fundamentally different to hotel groups and companies that take large sums of money out of the places they do business.

 

The Bed and Breakfast Association has attacked the company for not requiring hotel-standard fire protection (it does not require hosts to fit smoke alarms, for instance, nor oblige them to document emergency exits).

 

Airbnb will implement new rules from spring 2017 where its users can let out their property for 90 days in one year.


(No Like Yet)

Related Posts

Tags: , ,

Comments are closed.

arrow2Follow TTW
 
facebook-logo  twitter-logo  LinkedIn_logo  rss_logo 
ttw_blogger_logo  ttw_blogger_logo

ADVERTISEMENT

  • 13 EYE-FOR-TRAVEL 21
  • 14 KITF 2021
  • 16 ITB asia 2020
  • 30 PATA

TRAVEL INDUSTRY EVENTS

    1. DIGITAL TRAVEL US 2020

      December 14 - December 15
    2. INTERNATIONAL HOSPITALITY INVESTMENT FORUM (IHIF)

      Mar 8, 2021 - Mar 10, 2021
    3. ITB Berlin

      Mar 10, 2021 - Mar 14, 2021
    4. SALON DESTINATIONS NATURE 2020

      Mar 18, 2021 - Mar 21, 2021
    5. Arabian Travel Market

      May 16, 2021 - May 19, 2021
Get our toolbar!
Review www.travelandtourworld.com on alexa.com