Airbnb, the online platform where individuals and families can list their homes for short or long term rental, has agreed to pay $621 million USD (575 million EUROS) to the Italian Revenue Agency. This amount is the short-term rental tax that the business owes the Italian government on behalf of the hosts that made use of the platform between 2017 and 2021.
The report further mentions that Airbnb owes as much as $840 million USD (779 million EUROS) in back taxes as they generated about $3.96 billion USD (3.7 billion EUROS) within the aforementioned timeframe. After the short-term rental tax was introduced in 2017, Airbnb challenged the legality of the levy in court but was unsuccessful.
The tax range for short term rentals in the Country starts at 21%, with the government looking to increase that number to 26%. In June 2023, Incognito Blog reported the lawsuit filed against New York City by the short term rental company, in response to stifling set of laws introduced by the state.
