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Airbnb Reaches Tax Agreement With Pennsylvania


Airbnb just agreed to pay Pennsylvania’s 6% hotel occupancy tax, an agreement that could mark an important step towards legal legitimacy for the home-sharing behemoth.

The tax applies to those who rent out a property to guests for less than 30 days, and Pennsylvania's Revenue Department Secretary, Eileen McNulty, says Airbnb will collect the funds and submit them directly to the state, the Philadelphia Inquirer reports. The tax’s new application to Airbnb is expected to bring in at least $1M annually for the state.

This agreement comes while Airbnb is in the midst of a legal battle with NY regulators, who currently ban most people in NYC from renting out their apartments for less than 30 days. That's a law Airbnb and its supporters—dubbed “Home Sharing Clubs”—think is far too strict. [Philly]