This article explains how to display gross taxable revenue on owner statements. This feature shows owners the full amount collected from the guest for each reservation, along with a summary of third-party expenses, which helps them understand the basis for sales tax collected.
Important:
Gross taxable revenue is only available on the Detailed reservation view of the updated owner statement template. It is not available on the condensed view or the original template.
Before you begin
- Your account must have the Accounting module active.
- You must use the updated owner statement template with Detailed reservation view.
Turn on gross taxable revenue
- Sign in to your Guesty account.
- In the side navigation menu, click
Accounting to open the dropdown menu. - Under Owner accounting, select Owner statements.
- At the top right, click Customize statements.
- Toggle on Updated template (breakdown by reservation) to use the updated template.
- Scroll down through the customization options to "Choose type of view".
- Select Detailed reservation view.
- Under "Detailed reservation view", select Gross taxable revenue.
- Scroll back up to the top of the customization options and click Save.
- In the pop-up, confirm your changes then click Apply changes.
Understanding the gross taxable revenue section
What appears on the statement
WhengGross taxable revenue is enabled, each reservation on the detailed owner statement can include these additional rows:
| Line item | What it shows |
|---|---|
| Gross taxable revenue | The tax basis for the reservation. |
| Total taxes collected | Total accounting tax transactions for the reservation, shown as a positive value. |
| Total taxes remitted | Total accounting tax transactions for the reservation, shown as a negative value. |
| Third party expenses | Guest-paid amounts that are not allocated to the owner. |
How gross taxable revenue is calculated
The line items are calculated using the following formulas:
-
Gross taxable revenue = Guest folio amount
- This is the amount from the guest folio total column for the reservation.
-
Third party expenses = Gross taxable revenue − Owner Statement rental payment (rental income)
- Third party expenses represent the portion of what the guest paid that does not go to the owner. For this calculation to be accurate, both the gross taxable revenue and the rental payment on the statement must be complete and aligned.
How it works with fractional ownership
For properties with fractional ownership, the values for gross taxable revenue, taxes collected, and taxes remitted are multiplied by the owner’s ownership percentage. The third party expenses line is calculated after the ownership percentage is applied.
How taxes are displayed
The tax line items that appear under gross taxable revenue depend on who remits the taxes:
- PMC remits taxes: Both total taxes collected (positive value) and total taxes remitted (negative value) appear on the statement. This shows both the tax basis and the remittance.
- Owner remits taxes: The positive and negative tax lines are hidden to avoid duplicating tax information on the statement.
(This logic follows the same behavior as the existing Taxes remitted by PMC template customization option.)
When gross taxable revenue appears on the statement
Gross taxable revenue is calculated and displayed based on the reservation’s departure (checkout) date. This applies even if your business model is set up to recognize revenue on arrival or per night.
This means:
- The gross revenue lines for a reservation appear on the owner statement that includes the reservation’s departure date.
- For the gross and third-party expense amounts to be accurate, you must complete the owner accounting for the reservation at departure.
Limitations
Calculation is departure-based only
Gross taxable revenue is always tied to a reservation's departure date. It does not recalculate or redistribute across arrival or per-night recognition patterns. When using this option, plan to review and generate statements around the checkout months.
Incomplete owner transactions at departure cause incorrect third party expenses
The formula for third party expenses is gross taxable revenue minus rental payment. If not all owner transactions for a reservation are included on the owner statement at departure, the rental payment amount may be incomplete. This will result in an incorrect third party expenses total, even if the gross taxable revenue amount is correct.
To keep third party expenses accurate:
- Ensure all owner-facing reservation transactions that should appear at departure are posted and included on the departure-month statement.
- Avoid leaving owner allocations for the reservation off the statement until a later month.
Mid-stay relocation is not supported
Gross taxable revenue does not work correctly for mid-stay relocations. A mid-stay move creates two departure events for a single reservation. Since the calculation is based on departure, the full reservation gross may be applied to each departure, which can:
- Duplicate gross taxable revenue across both property segments
- Distort third party expenses, which depend on the calculation for each segment
Do not rely on gross taxable revenue for reservations that include a mid-stay move. To resolve this, create two separate reservations when a guest relocates mid-stay.