How Are Vacation Rental Sales Taxes Handled? ~ The Business Blog
As part of our vacation rental management services, our Accounting Team handles all aspects of sales tax on your property. Our Accounting Team has years of experience in vacation rental accounting and works closely with Portfolio Managers on each individual account. We understand that taxes can be heavy and at times, confusing. That’s why we aim to provide you peace of mind when it comes to sales taxes. Consider it one less thing to worry about! Read below to learn how vacation rental taxes are handled, and contact us for any additional questions you may have.
As a new owner coming onto our vacation rental management program, we register your property under our sales tax certificate number under the appropriate state and county. When it comes to sales tax, you do not have to worry about a single thing. We pay and remit all sales taxes on your behalf every month. At the end of the year, we issue your 1099 based on your gross rental income. This document is available for you to print off in your owner portal, but post-dated by January 31st.
We also partner with members of the military on tax-exempt reservations. These are known as “per diem.” When military members stay with us for an extended period of time due to training orders, we waive the taxes. The same goes for church and school groups visiting the area with official documents from the Florida Department of Revenue and Alabama Department of Revenue.
It is important to note that while we handle sales taxes, our Accounting Team does not prepare or file your taxes. If you have any questions about sales taxes on your property, be sure to contact your Portfolio Manager. They’ll partner with our Accounting Team to ensure everything is accurate.