For a company that once resisted collecting local taxes, Airbnb has taken a decidedly pro-tax turn.
On Thursday, Chris Lehane, Airbnb’s head of global policy, made an intriguing offer to his audience at the United States Conference of Mayors: Work with us, and we will collect millions of dollars in taxes for you.
“We want to demonstrate a seriousness of purpose” to city leaders, Mr. Lehane said in an interview with The New York Times. “I’m not aware of any company standing up at the U.S. Conference of Mayors and saying, ‘Please tax us.’”
Mr. Lehane’s proposal comes at a crucial time for the room-booking service. A number of communities, worried that short-term rentals are squeezing out much needed long-term housing or are becoming a nuisance to neighbors, are looking at tougher regulations aimed at Airbnb and its competitors. And some municipalities, like the California wine town Ojai, have voted to ban it.
The San Francisco start-up appears to be making good on a promise to more aggressively court local communities. After winning a bruising election fight in its hometown last fall, Mr. Lehane said the company would both more aggressively promote its interests in other cities while more clearly explaining what it has to offer.
The San Francisco victory did not come without embarrassment. Shortly before an election it was expected to handily win, Airbnb angered many with a series of cheeky ads on bus stops and billboards around the city. “Dear San Francisco,” one ad read. “Last year our guests and hosts brought $12 million in hotel taxes to the city. Love, Airbnb.”
The company quickly apologized for the ads and ordered them taken down. Ham-handed though they may have been, the posters did make a valid point: Airbnb can help generate needed local tax revenue.
The question is whether local communities think the money is worth it.