Online vacation rentals, booking agents now taxed
The county commissioners will tweak the county bed tax rules to make way for state legislation that forces booking agents and online travel companies to pay the same taxes as hotels, bed and breakfasts and cabins.
Diane Marburger, county treasurer, told the commissioners at their Wednesday meeting that the county’s 5 percent hotel tax, known as the bed tax, has not been paid by online booking websites, such as Orbitz, and such travel booking sites as HomeAway, where travelers can book a room or apartment owned by a private citizen.
She said the travel site Airbnb.com. volunteered in 2016 to pay the tax.
She said of the total bed taxes collected, the county Tourism and Convention Bureau receives 96 percent, while the county gets 4 percent.
State Act 109, which took effect on Jan. 22, requires booking sites and online travel sites to pay the full bed tax as well.
Jack Cohen, the tourism bureau president, said $28 million per year has been lost statewide through this practice.
He estimated the county has lost about $100,000 per year that will now be captured, due to Act 109.
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