Estonia, Internet, Real Estate, Taxation, Tourism

International Internet Magazine. Baltic States news & analytics Monday, 10.12.2018, 15:27

Estonian tax authority, Airbnb sign agreement on voluntary submissions

BC, Tallinn, 05.12.2018.Print version
The Estonian Tax and Customs Board and peer-to-peer accommodation rental portal Airbnb signed on Wednesday an agreement according to which the latter will enable for its lessors to forward their income through the platform to the tax authority on a voluntary basis, after which, the information will be added to the lessor's annual digital tax returns, reports LETA/BNS.

The possibility for voluntary submissions will be available for Estonian lessors starting from Dec. 14, the Tax and Customs Board said. The feature only requires ticking a box, by which the information is automatically forwarded to the tax authority. 


The Tax and Customs Board added that the new solution will facilitate submitting of information by lessors regarding their income and will ensure that the tax revenue reaches the state budget of Estonia.


Rivo Reitmann, deputy director general of the Tax and Customs Board, said that the tax authority considers it important to offer simple and convenient means for collecting tax, requiring as little effort as possible.


"Platforms of the new economy enable to offer services in a convenient way, simultaneously fulfilling tax obligations. Thanks to this new tool and the collaboration with Airbnb, we will make the lives of home sharers in Estonia easier," Reitmann said.


Patrick Robinson, director of public policy at Airbnb, said that hosts want to pay their fair share of tax and Airbnb wants to help. Her said Airbnb wants to work with governments to help make income tax simple for everyone and is already engaged in talks across Europe. 


Robinson said that in cooperation with state institutions in Estonia, a trailblazer in e-governance and a strong supporter of sharing economy, Airbnb will facilitate for hosts submitting information about one's income. Meanwhile, Airbnb will also be helping the government to benefit from the new sources of income resulting from home sharing.


Last year, 2,600 Estonians rented out their lodging, hosting 130,000 visitors. An average Airbnb lessor in Estonia earned 1,500 euros, providing accommodation for 24 nights in one year.






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