AirBNB is asking Congress to step in and provide relief for STRs

[Jonathan Conaghan]

The following link from Business Insider discusses proposed relief that AirBNB has asked Congress to implement in light of policy changes they have made impacting property owners revenue.

https://www.businessinsider.com/airbnb-asking-congress-give-tax-relief-and-loans-to-hosts-2020-3?utm_source=yahoo.com&utm_medium=referral

As has been discussed at length on the forums, AirBNB changed its policies for refunding guest cancellations regardless of the property owners own policies.

“...In the letter sent to the legislature, they have asked to pass a combination of tax relief and loan measures that would specifically benefit its network of hosts. The measures would provide both short-term help for property managers and, longer term, potentially make the short-term rental business more profitable for them...

..The company is pushing for the legislature to allow property managers to get a tax credit for the money they make offering accomodations through its service and its competitors. Alternatively, it urged Congress to allow those hosts to defer the taxes on their short-term rental income.

Airbnb also urged the legislature to make it clear that the property managers that list on its site and others are eligible for the disaster loans that are being made available through the Small Business Administration as a result of coronavirus relief law passed earlier this month.

Additionally, the company encouraged Congress to exempt more short-term rental income from taxes. Under current law, people who rent out a room in their house or other property for 14 or fewer days don't have to report the income from those transactions to the federal government or pay taxes on it. Airbnb asked Congress to bump that limit up to 60 days.

Finally, the company asked the body to encourage lenders to offer low-interest loans to hosts, using tax cuts or other such incentives...”

It will be interesting to see what, if any measures are passed to assist property owners. We surprisingly have received replacement bookings in Kissimmee for March and April. It appears some people with the ability to drive to the location are taking advantage of discounted rates. Either way, it’s times like these everyone is reminded why we keep reserves. Stay safe everyone!!