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Arkansas Tax and Incentives Update

AirBnB to Collect Hot Springs A&P Lodging Tax

Posted On: Saturday, May 20, 2017

AirBnB has continued in its trend toward lodging tax collection with an agreement to collect the locally-administered Hot Springs hotel tax administered by the Hot Springs Advertising and Promotion Commission, sometimes called an "A&P tax." (A&P taxes on lodging and restaurants are outliers as the only remaining major locally-administered transaction taxes.) This follows on the heels of the state-level agreement earlier this year for AirBnB to collect DFA-administered state and local sales/use tax and tourism tax, and it is part of a broader trend toward tax collection by AirBnB and other sharing economy platform providers. Centralized tax collection at the platform level should increase tax compliance and make it easier for people to offer lodging through the platform. Read More


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