VRBO Overcharges On TOT
VRBO Overcharges On TOT — Look At Your Statement
Dear Hosts,
Recently, it has come to our attention that VRBO is mistakenly showing a 2% BIA (Business
Improvement Area) tax due to Sonoma County on their tax reporting site. This is separate from
the 12% Transient Occupancy Tax that VRBO is now automatically collecting.
You would have seen this on your VRBO tax reporting page:
In most cases, your guests were not charged the additional 2% tax and you do not need to remit
that tax to Sonoma County out of your own pocket.
If your property makes over $350,000 per year or is managed by a property manager that
makes over $350,000 in gross revenue AND files transient occupancy tax on behalf of your
property, then your property is subject to the 2% BIA tax.
If you have already filed your Q2 (April-June) 2024 TOT return and paid the 2% on your VRBO
reservations then you should reach out to the TOT office (tot@sonoma-county.org) to get that
corrected. They do review your tax submissions and will likely catch that error anyway but best
to reach out and get the overpayment credited to your TOT account.
