Starting April 1, Airbnb will begin collecting taxes on 1,700 of its listings in Saskatchewan.
Airbnb has finalized a tax agreement with the government of Saskatchewan that will allow the company to collect and remit the six per cent PST on behalf of its hosts in the province.
“We are pleased that Airbnb has agreed to collect and remit PST on its accommodation rentals in our province,” Finance Minister Donna Harpauer said in a statement.
“We want consumers to have choice and a competitive marketplace when renting accommodation in Saskatchewan, and we also want fairness for all providers of these services in our province and for Saskatchewan taxpayers.”
Airbnb will automatically collect and remit the taxes to the government on all of the service’s bookings.
To date, Airbnb has partnered with more than 500 governments internationally, including British Columbia, Quebec and a number of municipalities in Ontario.
“Airbnb welcomes the opportunity to help communities throughout the province of Saskatchewan further benefit from the positive economic impacts of home-sharing,” Nathan Rotman, deputy director of public policy for Airbnb Canada, said in a statement.
PST collected during the first 12 months of the tax agreement between Airbnb and British Columbia brought in nearly $34 million.
Last year, Airbnb hosts in Saskatchewan made around $9 million, with over 70,800 guests staying in Airbnbs.
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