Playa del Carmen Airbnb Host Tax Guide

If you own property in Playa del Carmen and rent it out, or are considering investing in rental property there, you should be aware of your tax obligations to the Tax Administration Service (SAT). Whether you're renting out a room or an entire house, providing accommodation services is considered an economic activity that generates income, and therefore, you are required to pay taxes to the SAT.

The authorities view services provided by hosts through platforms or apps as a form of lodging, similar to running a business. This is due to the fact that these services generate income (as per articles 16 and 90), and those who offer these services are required to pay taxes on the income generated.

In some parts of the country, such as CDMX, a local tax is levied for the use of accommodation technology platforms.

Here are some of the taxes you should be aware of:

• Income Tax: This is calculated based on your earnings. The higher your earnings, the higher the tax, up to a maximum of 35 percent.
• Value Added Tax (VAT): An additional 16 percent should be charged to the guest or client, calculated based on the price of the accommodation or service.
• Lodging Tax: This is a state tax charged to the guest, in addition to the accommodation tax. It varies from 2 to 5 percent depending on the state.

Airbnb has outlined the steps hosts need to take to comply with this new tax regime for digital platforms. Firstly, you need to register as a taxpayer with the SAT and process your RFC. Next, you should inform the SAT about your activities on digital platforms by submitting the notice of updating of economic activities and obligations on the entity's portal. Then, you need to decide how you will pay your taxes, depending on whether you are a moral or physical entity. You also need to register your RFC on the Airbnb platform. If you're registering with the SAT for the first time, you'll need to wait 72 hours for your RFC to be registered and validated. Lastly, ensure that you submit your tax declarations on time, issue invoices, and maintain accurate accounting records to avoid any future issues. If you're registered as a physical host, the process is simpler as Airbnb will withhold a percentage of your income for tax purposes and submit it to the SAT on your behalf.