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Tax Remittance Expansion by Hospitable (January 2026)

  • January 19, 2026
  • 12 replies
  • 77 views
Brandon Huetteman
Hospitable Team Member

Hi to our Hospitable Community! It is that time again for our traditional monthly TAX NEWS!

Hospitable is now collecting and remitting the following taxes for all Direct Premium bookings and Upsell purchases made on or after January 1, 2026:

  • Connecticut
    • State Room Occupancy Tax
  • Delaware
    • Short-Term Rental Lodging Tax
  • Mississippi
    • State Sales Tax
    • Tourism and Economic Development Taxes
  • Montana
    • Lodging Facility Use Tax
    • Lodging Sales Tax
  • Nebraska
    • State and Local Sales and Use Tax
    • State and County Lodging Tax
  • New Mexico
    • Gross Receipts Tax
  • North Dakota
    • State Sales Tax
    • Local Sales and Gross Receipts Tax
    • Local Lodging Tax
    • Local Lodging and Restaurant Tax
  • Rhode Island
    • State Sales Tax
    • State Hotel Tax
    • Local Hotel Tax
    • Whole Home Short-Term Rental Tax
  • South Dakota
    • State Sales Tax
    • Municipal Sales Tax
    • Municipal Gross Receipts Tax
    • Tourism Tax
    • Special Jurisdictions Taxes
  • West Virginia
    • State Sales Tax
    • Municipal Sales and Use Tax
  • Wyoming
    • State Sales Tax
    • State Lodging Tax
    • Local Sales Tax
    • Local Lodging Tax
    • Resort District Tax (collected by Wyoming state)

Please note that this list is a summary of the taxes that have been newly added to remittance for Direct Premium users. For detailed information on each tax and the tax type, please refer to the How Taxes are Handled in Direct help article where you can select the specific state to determine how and if these taxes will apply to you.

If you have a property in these locations and the applicable tax applies to your property for Direct Premium, no action is required on your part—these taxes will be automatically retained and remitted on your behalf.

Any other applicable taxes that are not listed or previously communicated will continue to be collected as a pass-through to you. You are responsible for remitting all pass-through taxes to the appropriate jurisdiction in accordance with local regulations and compliance. Further, any tax not collected and remitted on your behalf by Hospitable prior to this date were and will continue to be your responsibility to remit as necessary to state and local jurisdictions and/or tax authorities.

What’s next:

We will continue to expand our efforts in collecting and remitting taxes in more jurisdictions — with a heavier focus on local jurisdiction remittance. If you are still waiting to see your jurisdictions added, we are working diligently in the background to expand our tax remittance for Direct Premium. We want to hear from you! Where are you looking for Hospitable to expand tax remittance to in the new year? Our goal is to remit in as many state and local jurisdictions as possible to provide the best experience for our users.

Be sure to keep an eye out for further information related to tax remittance in your location. To keep up-to-date with all the newest changes to tax remittance, follow along in the Hospitable Community or in the How Taxes are Handled in Direct help article.

If you have any questions, you can respond to this conversation or reach out to the Hospitable support team.

Happy hosting!

💜 Hospitable Direct Team

12 replies

The Orange Cabins
Participating Frequently
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California and specifically San Bernardino County and a Big Bear Lake/Big Bear City. 


Stay Salty
Known Participant
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  • Known Participant
  • January 20, 2026

USVI 🌴


MoniqueD
Inspiring
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  • Inspiring
  • January 20, 2026

I would love a manual option to still be available. Is this going to be a possibility?


Forum|alt.badge.img+1
  • Inspiring
  • January 20, 2026

Why aren’t you making this optional? What if I want to remit them on my own?


Petra Podobnik
Hospitable Team Member
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  • Hospitable Team Member
  • January 21, 2026

I got the information that for Direct Premium and Upsells, taxes are handled for the host and cannot be manually managed. However, with Direct Basic, you do have the option to handle tax filing and remittance on your own.

 


Forum|alt.badge.img+1
  • Inspiring
  • January 21, 2026

I got the information that for Direct Premium and Upsells, taxes are handled for the host and cannot be manually managed. However, with Direct Basic, you do have the option to handle tax filing and remittance on your own.

 

I was under the impression that Direct Basic doesn’t have the option for Hospitable to remit our taxes for us and that we MUST remit them on our own. If that’s correct, it isn’t an option, it just is what it is.

What’s the reason why we can’t have this as optional for Direct Premium?


Eli Stoughton
Participating Frequently
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  • Participating Frequently
  • January 21, 2026

I was under the impression that Direct Basic doesn’t have the option for Hospitable to remit our taxes for us and that we MUST remit them on our own. If that’s correct, it isn’t an option, it just is what it is.

What’s the reason why we can’t have this as optional for Direct Premium?

 

I believe you are correct. Perhaps it would be more accurate to say that Direct Basic is the option if you really want to remit taxes yourself. My understanding is that there are compliance reasons why under Direct Premium, Hospitable is the Merchant of Record and with the deals they have with the tax processing company, Hospitable must ensure remittance of taxes themselves (and thus not allow for an option for hosts to self-remit).


Forum|alt.badge.img+1
  • Inspiring
  • January 21, 2026

I was under the impression that Direct Basic doesn’t have the option for Hospitable to remit our taxes for us and that we MUST remit them on our own. If that’s correct, it isn’t an option, it just is what it is.

What’s the reason why we can’t have this as optional for Direct Premium?

 

I believe you are correct. Perhaps it would be more accurate to say that Direct Basic is the option if you really want to remit taxes yourself. My understanding is that there are compliance reasons why under Direct Premium, Hospitable is the Merchant of Record and with the deals they have with the tax processing company, Hospitable must ensure remittance of taxes themselves (and thus not allow for an option for hosts to self-remit).



So they’re not the Merchant of Record for Direct Basic?


Mikey
Known Participant
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  • Known Participant
  • January 21, 2026

Need Wilmington, NC on the local occupancy remittance map ASAP!


Petra Podobnik
Hospitable Team Member
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  • Hospitable Team Member
  • January 21, 2026

Ah I should have phrased it better. Exactly, as ​@Eli Stoughton said, Direct Basic is the option to chose if you want to remit your own taxes. And in that case, Hospitable is not the Merchant of Record, as the payments don’t go through Hospitable, but through your own Stripe account. 

Regarding Direct Premium, Eli was on point as well. We act as the Merchant of Record (MoR), so we are legally required to collect and remit taxes on behalf of the host.

More: https://help.hospitable.com/en/articles/7435813-how-taxes-are-handled-in-direct


Eli Stoughton
Participating Frequently
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  • Participating Frequently
  • January 21, 2026



So they’re not the Merchant of Record for Direct Basic?

 

That's correct. The host is the MoR on Direct Basic. So for example, when I host a Direct Basic guest, my LLC is the Merchant of Record.


IslandPride
New Participant
  • New Participant
  • January 22, 2026

Galveston Hotel Occupancy Tax PLEASE!!