From 1 April 2024, the New Zealand government introduced a major change to how GST (Goods and Services Tax) is applied to short-term accommodation bookings made through platforms like Airbnb and Booking.com.

Even if you’re not GST-registered, this change affects you—and it could be costing both you and your guests more than you realise.

What’s Changed?

Under the new rules, Airbnb and other booking platforms must collect 15% GST on all short-stay bookings made in New Zealand. This applies to all properties, even those owned by individuals who are not registered for GST.

So, even if you earn under the $60,000 threshold and aren’t GST-registered, GST will still be added to your guests’ booking total—and paid directly to the government.

→ Airbnb Help Centre: GST collection and remittance in New Zealand

Why It Matters to You

For many property owners, this change has come as a surprise. We’ve heard from several hosts who were suddenly fielding questions from guests about why their total cost had jumped.

Here’s what it means in practice:

• Your guest pays 15% more when they book via Airbnb or Booking.com.
• You receive only part of that back: Airbnb gives non-GST-registered hosts an 8.5% credit, but the remaining 6.5% goes to the government.
• In effect, your income per booking drops, unless you increase your prices—which then makes your property look more expensive to guests.

→ GRA.co.nz: GST for All Airbnb Properties from 1 April 2024

What If You’re GST-Registered?

If your rental income exceeds $60,000 annually and you’re registered for GST, things are a bit different:

• Your platform income is treated as zero-rated, meaning no GST is added on top.
• You can claim GST back on related expenses.
• You don’t receive the 8.5% credit.

Still, it’s essential that Airbnb and similar platforms know your GST registration status—otherwise they may apply the wrong treatment and you could be liable to pay back the credit.

→ Kiwitax: Essential Guide to the New GST Regulations

Why Direct Bookings Are Now More Valuable Than Ever

Here’s where things get interesting: these new GST rules only apply to bookings made via online platforms.

If a guest books directly with you through your own website and you’re not GST-registered, no GST needs to be charged at all. That’s a 15% saving for the guest—and a clear advantage for your business.

That’s why we created Bypass.

We help short-term rental property owners just like you:

• Set up beautiful, mobile-friendly websites
• Accept direct bookings with ease
• Stay in control of your pricing and guest relationships

The Takeaway

If you’re currently relying on Airbnb or Booking.com for most of your bookings, it’s time to rethink your strategy.

✔️ Direct bookings are more profitable
✔️ Guests pay less
✔️ You maintain more control

Want help setting up your own direct booking website? We can have you up and running with your own website from as little as $299 set up and $29 a month.