During the first year of the state’s deal with vacation rental website Airbnb, rentals in South Dakota generated $568,000 in tax revenue, which the company remitted to the state, reports KOTA Territory News. The agreement between Airbnb and the state went into effect September 1st of 2017.
This agreement with Airbnb went into effect while the state was still in the midst of a Supreme Court Case over online sellers paying in-state sales tax. The agreement with the state allows Airbnb to collect and remit state sales tax, municipal sales tax, municipal gross receipts tax, and tourism taxes on all eligible bookings. Airbnb has said that this agreement ensures that communities receive all of the economic benefits that home-sharing through Airbnb brings.
Read more about taxes on the Black Hills Knowledge Network news archive.
