Need a Vacation from your Vacation Rental? Sales and Lodging Taxes may apply.
The dog days of summer may be nearing an end, but the popularity of vacation rentals remains strong.
While homeowners across the Pikes Peak region happily offer their private residences as short-term rentals through online booking sites like Airbnb, HomeAway or VRBO, some may be unaware of the associated tax liability such as sales and lodging tax.
For example, the city of Colorado Springs states that “owners or property managers must collect both sales and lodging or LART tax for each stay of less than 30 days” and also requires a sales tax license to operate short-term rentals.
If you operate short-term rentals and have questions about local requirements or how to be compliant, please contact your tax advisor today!