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by ryanwanger 4292 days ago
Corporations get taxed ~15% + 14% hotel tax. Individuals get taxed ~30% already on their Airbnb income (plus Airbnb charges the guest 6%-12% and the host 3%).

If they're going to charge 14% hotel tax to people renting out rooms on Airbnb, wouldn't it be more fair to tax that income at the corporate rate instead of the individual rate?

(Yes, I understand the taxes go to different places in each scenario. But from the "take home" perspective of the person/entity doing all the work here, hosts on Airbnb are already having their transaction taxed significantly more than any hotel chain).

2 comments

> Corporations get taxed ~15% + 14% hotel tax. Individuals > get taxed ~30% already on their Airbnb income

Greatly simplifying things:

(Big) corporations in the US get taxed 15%, and then when they pay dividends to shareholders, that gets taxed again as income for the individual.

In fact many small businesses are incorporated in such a way that they skip the 15% tax rate and pay taxes on all of their income at the individual owner's tax rate.

If Airbnb hosts want to be taxed as a corporation, is anything stopping them from simply forming a corporation?
Will Airbnb let you sign up as a corporation?