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Airbnb announces tax agreement with state of North Dakota

FARGO — Airbnb has reached a tax agreement with the state of North Dakota.

The company, which runs an online marketplace for short-term housing rentals, will start collecting and remitting the 5 percent state sales tax on behalf of its hosts and guests beginning April 1, Airbnb said in a news release.

Guests will be charged the tax on their Airbnb bill, and the company will then remit the taxes collected to the city. With this agreement, North Dakota joins over 360 jurisdictions where Airbnb has collected and remitted over $510 million in hotel and tourist taxes worldwide since 2014, the company said.

So far, there have been over 300 million guest arrivals at Airbnb listings around the world, including over 6,800 in North Dakota last year.

The typical host in the state earns $2,900 a year sharing their home, Airbnb said.

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