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Airbnb, DOR reach historic collection agreement

JEFFERSON CITY, Mo. – The Missouri Department of Revenue is entering into an historic tax agreement with Airbnb, the world’s leading community-driven hospitality company.

The new agreement will allow the Show-Me State to “fully capitalize on more people visiting Missouri and staying longer through home sharing.”

The new agreement, which takes effect on February 1, will allow the company to collect and remit state taxes on behalf of its 6,300 hosts in the state, as well as a variety of local taxes.

  • Missouri State Sales Tax: 4.225%
  • City Sales Tax: 0.25 – 1.375%
  • County Sales Tax: 0.25 – 0.5%
  • Additional County Sales Tax: 0.125% – 0.5%
  • Tourism Tax to Maintain Quality of Water: 0.25%
  • Promotional Tourism Tax: 0.5 – 5%
  • Local Sales Tax: 1%

The company says that, based on the state sales tax alone, it could mean $1.1 million in revenue to the state if Airbnb bookings replicate the last 12 months.

“Home sharing is introducing a whole new world of travelers to the authenticity of Missouri while offering new economic opportunities for thousands of middle class Missourians,” said Laura Spanjian, Midwest policy director for Airbnb. “We are so proud to have collaborated on this agreement, and we believe this can serve as a model for other states. We are dedicated to finalizing additional agreements to collect and remit taxes with Missouri municipalities.”

The agreement comes after Airbnb recently announced that its Missouri host community earned $28.9 million in supplemental income in 2017 while welcoming 289,000 guest arrivals to the state.

Airbnb also released the following city by city overview of the top 30 home sharing markets in Missouri from 2017:

City Total 2017 Guest Arrivals Total 2017 Host Income
St. Louis 88,500 $9.14 million
Kansas City 75,240 $7.7 million
Branson 23,950 $2.24 million
Columbia 11,140 $1.1 million
Springfield 8,140 $749,000
Osage Beach 5,580 $594,000
University City 4,900 $415,000
Lake Ozark 4,450 $565,000
Hermann 3,020 $294,000
Grandview 2,030 $160,000
Richmond Heights 1,880 $190,000
Saint Charles 1,860 $187,000
Hollister 1,730 $191,000
Independence 1,600 $108,000
Four Seasons 1,570 $169,000
Reeds Spring 1,570 $141,000
Kimberling City 1,490 $142,000
Clayton 1,290 $177,000
O’Fallon 1,190 $117,000
Joplin 1,170 $84,000
Cape Girardeau 1,160 $90,000
Sunrise Beach 1,060 $131,000
Jefferson City 1,050 $111,000
Raytown 1,030 $53,000
Camdenton 1,000 $111,000
Maplewood 980 $94,000
Kirkwood 850 $109,000
Steelville 820 $98,0006
Saint Joseph 810 $111,000
Hannibal 800 $85,000