Popular home rental website Airbnb will start paying San Francisco’s 14% hotel tax, addressing a key regulatory concern. David Hantman, Airbnb’s head of global public policy, said in a blog post that “we’ll soon be collecting and remitting taxes on behalf of our hosts in San Francisco.” The announcement follows Airbnb’s agreement to start paying hotel taxes in Portland, Oregon.
Of the factors that might go into the “Risk” column if or when Airbnb prepares to IPO, one will certainly appear right at the top: Government. From pesky user information subpoenas from New York City to investigations in Amsterdam, the company has not had the best run with government forces. That makes Airbnb’s latest news all the more noteworthy: Starting this summer, the company will be paying San Francisco’s 14 percent hotel tax. Or, to be more precise, the Airbnb hosts will be paying the tax. It’s the second city in the U.S. where Airbnb has struck such a deal with the government, the first being Portland, announced last week.