If you operate an Airbnb or short-term rental in Canada, you may choose to collect and remit HST yourself rather than relying on Airbnb’s automatic tax collection system. Some hosts prefer this because it gives them more control, improves accuracy, or simplifies bookkeeping across multiple platforms.
If you decide to handle HST on your own, there are a few key steps you’ll need to follow to transition smoothly. These instructions apply to Airbnb, but the process is very similar for other booking platforms such as VRBO, Booking.com, and Expedia.
Before you begin collecting HST independently, make sure your HST number is active with the Canada Revenue Agency (CRA). Your HST number must be active to legally charge and remit tax. If you’re unsure:
Next, you’ll need to adjust the tax settings inside your Airbnb account. This is where you can control how taxes are handled on your listings.
Airbnb may have already been collecting HST on your behalf. If you want to collect and remit it yourself:
This update ensures that Airbnb stops collecting HST and begins passing the responsibility—and the funds—directly to you.
Airbnb should automatically add the HST line item at checkout once you switch to manual collection. However, it’s still a good idea to:
Transparency prevents guest confusion and protects you from disputes.
Once you start collecting HST yourself, you become fully responsible for reporting and remitting it to the CRA. Proper record-keeping is crucial—especially if you operate across multiple platforms or run several listings.
Be sure to:
Final Thoughts
Handling your own HST collection and remittance gives you better insight into your cash flow and tax obligations, but it also requires consistency and organization. Once set up, the process becomes relatively straightforward, and your bookkeeping will be cleaner across all platforms you use.