Airbnb is About to Be Scrutinised to Make Sure it's Paying Enough Taxes

By Shabana Arif on at

HM Revenue & Customs is going to give Airbnb UK a thorough going over after it paid just £200k on a turnover of £14m.

The company doesn't seem to be concerned, saying, "we follow the rules and pay all the tax we owe in the places we do business. That is true as rules apply today and will remain true for whatever rules apply in future." Well, alright then.

HMRC has contacted Airbnb because of "tax laws or regulations impacting the company's business" adding that it's also "subject to tax inquiries and proceedings concerning its operations and intra-company transactions. Some of these matters may result in litigation." As ominous as that sounds, Airbnb seems fairly confident that it's not been up to any funny business and says these are just "routine checks".

As BBC News reports, a number of large companies have had dealings with tax authorities over their taxes, which resulted in PayPal and eBay both forking over additional taxes in 2017, and Amazon getting flack for not paying enough. We'll have to see how Airbnb's brush with HMRC shakes out, and whether it was right to be so relaxed about the prospect of getting probed.