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Applying Hotel Taxes On Airbnb Could Net Mass. $18M In Revenue

Amid calls at the Massachusetts State House for beefed-up regulation, Airbnb has released a television ad saying it supports a proposed rental tax. The state Senate is proposing applying the 5.7% state hotel tax and local taxes of up to 6% on short-term room rentals. The proposal is estimated to bring in $18M in new revenue to the state, the Boston Business Journal reports.

Senate Republicans attempted to limit the tax to rentals lasting longer than 30 days, but the measure was dismissed. Gov. Charlie Baker previously proposed only taxing the rentals when they lasted longer than five months.

“We want to collect and pay taxes for our hosts,” Airbnb said in its ad. "And, we want to protect affordable housing. Together, we can make sure that all of Massachusetts benefits."

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