This week Louisiana passed a sales tax expansion to apply a 4% sales tax on short term rentals.
What you need to know about the short term rental sales tax:
- Louisiana could not estimate how much the tax would generate because:
- The number of short term rentals is unknown
- The revenue generated from short term rentals is also unknown
- The sales tax passed because of a historic $900 M shortfall
- How did they do it? Expanded the definition of hotel/motel
NOLA.com | Times Picayune | Legislature passes new Airbnb sales tax; bill heads to governor