Monday, August 10, 2015

The Taxman cometh home

Income received by Airbnb hosts resident in Ireland will be reported to the government as potentially taxable income (Irish Times)  --

“The reporting obligation is driven by the fact that beginning May 1st, 2014, Ireland is Airbnb’s home base for transactions outside the United States. This will be an ongoing part of our annual corporate filing obligation in Ireland,” the company said.

Interesting about this case is that while the company probably sees overall tax advantages to being located in Ireland, this tax arbitrage is usually invisible to Irish people because they are not getting any income from most of the multinationals that locate here. For once, the income the country derives being an advantageous corporate base doesn't seem like free money.

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