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Updated over 3 years ago on . Most recent reply
STR taxes “Hotel Motel” or “Longterm rental”
Thank you in advance for your insight here. I am wanting to go through my cities “zoning” process to get an Airbnb going. As part of this process they have a mandatory requirement of reporting monthly statements on your rental income PLUS paying a 2% Hotel/Motel tax to the city. Is this legal if I am not providing Hotel/Motel services as described by the tax code? I am wanting to structure this as a long term rental tax designation but if I am paying to the city a mandatory “Hotel/motel tax” and then claiming that as an expense on my tax return, will this not complicate matters as to filing in the “long term rental” designation?