EU court tax ruling on Airbnb
Based in Luxembourg, the highest court of the European Union, the Court of Justice of the European Communities, has decided on the lawsuit filed by Airbnb against tax practices in Italy.
The court ruled that EU law does not prevent the collection of information or the payment of taxes at source under the national tax regime on short-term property rentals.
With the decision, Airbnb will have to share information about its activities and leases in Italy with the country’s tax authority and pay withholding taxes in the country.
21 PERCENT OF INCOME IS TAXED
Under Italian law, short-term rental companies had to submit their contract information to the tax authorities and pay a 21 percent tax on their income.
Airbnb initiated legal action alleging that this practice went against the free provision of services within the EU. (AA)
Source: Sozcu
Andrew Dwight is an author and economy journalist who writes for 24 News Globe. He has a deep understanding of financial markets and a passion for analyzing economic trends and news. With a talent for breaking down complex economic concepts into easily understandable terms, Andrew has become a respected voice in the field of economics journalism.
