Do I have to collect sales/use tax, motor vehicle rental tax, or similar transactional taxes?

Depending on which jurisdiction your RV is rented out from, you may be liable to collect and remit certain transactional taxes to various government entities.  

As a service to hosts, and as required by many jurisdictions, Outdoorsy will collect and remit the following transactional taxes on rentals of hosts’ vehicles. There may be additional tax types, such as motor vehicle rental taxes, that you are still required to calculate, collect, and remit.

While you will not be liable to the jurisdiction for taxes that Outdoorsy collected and is required to remit on your behalf, you are still liable for taxes on your non-Outdoorsy bookings.

Even though Outdoorsy may be collecting and remitting taxes on rentals of your vehicles, you may still be required to file transactional tax returns. This is the case even if you have no tax to remit to the jurisdiction. Many jurisdictions will impose statutory late filing penalties if no tax return is filed, even if there is no tax due.

Transactional taxes are an incremental charge to the booking and will not affect your pricing. 

In the jurisdictions, and for the tax types listed below, Outdoorsy will calculate, collect, and remit these taxes on bookings of your vehicles.  

You may be responsible for calculating, collecting, and remitting certain transactional taxes if:  

1. your jurisdiction is not listed below, or  
2. you are required to collect and remit a tax type not listed below. 

How does this affect you?

1. Dealer-owned bookings: These bookings do not take place on the Outdoorsy marketplace. Therefore, your current tax collection process will be unaffected.
2. Peer-to-peer rentals: Taxes must be collected in the below-listed jurisdictions. In jurisdictions, and for tax types listed below, those taxes charged to the renter will be remitted by Outdoorsy to the jurisdiction, not released to you. 

Which transactional taxes does Outdoorsy collect? 

The majority of U.S. states, as well as some localities, have enacted marketplace facilitator, peer-to-peer, or similar sales tax laws. These laws require online marketplaces to collect tax from purchasers on behalf of sellers operating on their marketplace. As Outdoorsy operates an online marketplace we may be required to calculate, collect, and remit certain transactional taxes on rentals of your vehicles. 

Depending on the jurisdiction, Outdoorsy may collect and remit one or more tax types, including sales and use tax, excise tax, motor vehicle rental tax, and / or peer-to-peer vehicle sharing tax. Whether Outdoorsy collects and remits certain taxes depends on how the jurisdiction defines a marketplace facilitator, and whether marketplace facilitator rules apply to each of the tax types. 

In jurisdictions not listed below, you as the host are responsible for determining if your transactions are subject to transactional taxes, entering the correct tax rates in Outdoorsy.com, and remitting those taxes to the appropriate governmental body. Similarly, even if the jurisdiction where your RV is located is listed below, there may be additional transactional tax requirements you need to fulfill. You should consult with your tax advisor to determine which taxes you are responsible for, and whether you are required to register and / or file tax returns.

Outdoorsy does not calculate or remit sales taxes for Wheelbase bookings made outside of Outdoorsy.com. You should consult with your tax advisor to determine which taxes you are responsible for. 

Transactional taxes are not treated in the same manner as income tax. You should consult with your tax advisor about how your Outdoorsy transactions should be treated for income tax purposes.

Currently, Outdoorsy is collecting and remitting the following taxes on charges for bookings: 

Jurisdiction	Tax type	Citation
Alaska (Anchorage only)	Vehicle Rental Tax	Anch. Mun. Cd., Ch. 12.45
Alabama	Rental Tax Recovery	Ala. Code § 40-12-222
Arizona	Transaction Privilege Tax	Ariz. Rev. Stat. § 42-5008
Arkansas	Excise Tax	Ark. Code § 26-52-301
Arkansas	Rental Vehicle Tax	Ark. Code § 26-63-302
California	Sales Tax	Cal. Rev. & Tax Cd. § 6051
Colorado	Sales Tax	Colo. Rev. Stat. § 39-26-104
Connecticut	Sales Tax	Conn. Gen. Stat. § 12-408
Connecticut	Tourism Surcharge	Conn. Gen. Stat. § 12-665
District of Columbia (DC)	Gross Sales Tax	D.C. Code § 47-2002
Florida	Sales and Use Tax	Fla. Stat. § 212.05
Georgia	Sales and Use Tax	Ga. Code § 48-8-30
Hawaii	General Excise Tax Recovery	Haw. Rev. Stat. § 237-13
Idaho	Sales Tax	Id. Cd. § 63-3619
Illinois	Automobile Renting Occupation and Use Tax	35 ILCS § 155/3
Indiana	State Gross Retail Tax	Ind. Code § 6-2.5-2-1
Indiana	Vehicle Sharing Excise Tax	Ind. Code § 6-6-16-2
Iowa	Sales Tax	Iowa Code § 423.2
Kansas	Retailers’ Sales Tax	Kan. Stat. Ann. § 79-3603
Louisiana	Sales Tax	La. Rev. Stat. § 47:302
Maine	Sales Tax	Me. Rev. Stat. § 1811
Maryland	Sales Tax	Md. Tax Cd. § 11-104
Massachusetts	Sales Tax	Mass. Gen. L. § 2
Michigan	Sales Tax	Mich. Comp. Laws § 205.52
Minnesota	General and Local Sales Tax	Minn. Stat. § 297A.62, Subd. 1
Mississippi	Sales Tax	Miss. Code § 27-65-23
Mississippi	Motor Vehicle Rental Tax	Miss. Code § 27-65-231
Nebraska	Sales Tax	Neb. Rev. Stat. § 77-2703(1)
Nevada	Sales Tax	Nev. Rev. Stat. § 372.105
New Hampshire	Rentals Tax	N.H. Rev. Stat. § 78-A:6
New Jersey	Sales Tax	N.J. Rev. Stat. § 54:32B-3
New Mexico	Gross Receipts and Compensating Tax	N.M. Stat. Ann. § 7-9-4
New York	Peer-to-Peer Assessment Fee	N.Y. Tax Law § 1299-O
New York	Sales Tax	N.Y. Tax Law § 1105
North Dakota	Sales Tax	N.D. Cent. Code § 57-39.2-02.1
North Dakota	Surcharge on Rental Motor Vehicles	N.D. Cent. Code § 57-39.2-03.7
Ohio	Sales Tax	Ohio Rev. Code § 5739.02
Oklahoma	Motor Vehicle Rental Tax	Okla. Stat. § 2110
Oklahoma	Sales Tax	Okla. Stat. § 1354
Pennsylvania	Sales Tax	Pa. Stat. § 7202
Rhode Island	Sales Tax	R.I. Gen. Laws § 44-18-18
South Carolina	Sales Tax	S.C. Code § 12-36-1310
South Dakota	Retail Sales and Service Tax	S.D. Cod. L. § 10-45-2
South Dakota	Tourism Tax	S.D. Cod. L. § 10-45D-2
Tennessee	Retailers’ Sales Tax	Tenn. Code Ann. § 67-6-204
Texas	Motor Vehicle Gross Rental Receipts Tax	Tex. Tax Code Ann. § 152.026
Utah	Sales Tax	Utah Code § 59-12-103
Utah	Motor Vehicle Rental Tax	Utah Code Ann. § 59-12-1201(1)(a)
Virginia	Peer-to-Peer Vehicle Sharing Tax	Va. Code § 58.1-1736(D)
Washington	Sales Tax	Wash. Rev. Code § 82.08.020(1)
West Virginia	General Consumers Sales and Service Tax	W. Va. Code § 11-15-3
Wisconsin	Retail Sales Tax	Wis. Stat. § 77.52
Wyoming	Sales Tax	Wyo. Stat. § 39-15-103

Alabama: Outdoorsy collects and remits state sales / rental tax and local taxes administered by the Alabama Department of Revenue. Other localities may impose additional sales / rental taxes, or other transactional taxes. Outdoorsy does not collect and remit tax to these non-state administered jurisdictions. Therefore, hosts are responsible for collecting and remitting tax to any applicable localities.

Colorado: Outdoorsy collects and remits state sales tax and local sales taxes administered by the Colorado Department of Revenue. Other localities may impose additional sales taxes, or other transactional taxes. Outdoorsy does not collect and remit tax to these “home rule” localities. Therefore, hosts are responsible for collecting and remitting tax to any applicable localities. 

Last updated: 03/04/2022, 11:00 am CST