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.

Tags: , ,

Leave a Reply

Your email address will not be published. Required fields are marked *

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

ADVERTISEMENT

  • 07 thehotelshowsaudiarabia 2019
  • 07 WTM Africa 2019
  • 09 travelmeetasia 2019
  • 10 Asia Pacific 2019
  • 10 Hotel Management Thailand 2019
  • 11 Bar and Restaurant Investment 19
  • 11 Digital Travel 2019
  • 12 kitf 2019
  • 12 Routes Europe 2019
  • 13 Food Hospitality2019
  • 14 SWTF 2019
  • 15 PATA 2019
  • 17 AITF 18
  • 17 getglobal 19
  • 17 itehk 19
  • 18 UITT 2019
  • 30 PATA

TRAVEL INDUSTRY EVENTS

    1. ibtm ARABIA

      March 25 - March 27
    2. Medical Travel & Wellness Conference 2019

      March 26 - March 28
    3. Deluxe Travel Market Ukraine

      March 26
    4. UITT 2019

      March 27 - March 29
    5. Deluxe Travel Market Kazakhstan

      March 29
Get our toolbar!
Review www.travelandtourworld.com on alexa.com