Arlington adjusts accommodation tax calculation

Beds at Renaissance and Residence Inn hotels in Crystal City (staff photo)

Arlington County Council amended an existing lodging tax, ensuring it covers the entire bill.

Table passed the measure on Saturday, which means that the current 5.25% tax on hotels and other accommodation will now also apply to all accommodation costs charged by intermediaries, such as Airbnb and online booking sites.

“Before, transitional occupancy taxes were collected and paid (…)

Last year the state legislature update the law allowing a transitional occupancy tax, which is paid by guests of the accommodation, allowing places like Arlington to make the switch. It also requires that a portion of the proceeds be sent to the Virginia Tourism Authority.

For Arlington County Tax, a little less than 5% money raised will go to promote tourism and business travel in Arlington.

The update also suggests that intermediaries, such as online companies, will need to collect and send the tax to the government.

It wasn’t immediately clear whether this meant Airbnb hosts with smaller rental setups would no longer have to file monthly tax returns.

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