Mississippi clarifies local tourism tax on short-term rentals

What changed

Mississippi has reaffirmed that the 7% state sales tax applies to short-term rental accommodations and that Airbnb collects it. Guidance also clarifies that several local tourism and convention taxes are the host's responsibility where Airbnb has no collection agreement.

Who's affected

Mississippi hosts in cities and counties that levy a local tourism or convention tax on lodging. The state sales tax is handled by Airbnb, but local levies may not be.

What to do

• Confirm from your Airbnb tax summaries that the 7% state sales tax is being collected on your bookings.

• Check with your city or county whether a local tourism/convention tax applies to short-term rentals at your address.
• If a local tax applies and Airbnb does not collect it, register through the Mississippi Taxpayer Access Point (TAP) at https://tap.dor.ms.gov/ (opens in a new tab) and with the relevant local authority.
• File on the required schedule (state sales tax is generally monthly, due the 20th) and keep records of gross receipts.
• Re-verify local rates annually, as Mississippi tourism levies change by local act.

This change is confirmed against the Mississippi Department of Revenue. Local rates should be owner-verified before launch.