The state of Florida saw a growth in tax revenue generated by Airbnb hosts, with more than $387 million collected, securing its position as the top U.S. beneficiary of the platform’s tourism-related taxes for the third year in a row.

The state of Florida saw an increase in tax revenue generated by Airbnb hosts last year, accruing more than $387 million in tax revenue, according to data released by the rental platform.

The figure illustrates a 25.6 percent uptick in comparison to 2021 when Airbnb reported $308 million in tax revenue generated. For the third consecutive year, Florida was the top beneficiary of the platform’s tax revenue.

“We’re proud to share that we have collected and remitted more than $10 billion in tourism-related taxes to governments on behalf of our global Host community. As jurisdictions in the US and Canada manage budget deficits, the tourism taxes generated by stays on Airbnb continue to be a valuable source of revenue for many communities,” the company said in a statement. “Cities leverage these tourism tax dollars to fund various initiatives – from destination marketing to critical services such as police, infrastructure, and libraries.”

Other states also saw increases last year. California generated $212 million, while Tennessee airbnb hosts generated $125 million. North Carolina, Georgia, and Texas brought in $125 million, $98 million, and $98 million, respectively. In total, Airbnb reports $2.2 billion in tourism taxes across all 50 states in the US, Washington D.C., and Puerto Rico for 2023.

Tourism Development Taxes, also known as bed taxes or hotel taxes, are surcharges imposed on short-term lodging rentals in Florida, including hotels, condominiums, apartments, and other accommodations rented for six months or less.

The rate of the Tourism Development Tax varies by county, as it is authorized by local governments and subject to approval by county voters. The rate can range from 2 percent to 6 percent of the rental amount, depending on the county’s specific needs and goals related to tourism development.

The collected funds are administered by local tourist development councils or similar bodies, which allocate the revenue towards projects and initiatives aimed at increasing tourism and visitor spending within the region. This tax is allocated to support county-specific expenditures, such as infrastructure repairs, tourism development initiatives, and cultural endeavors, including theaters and sporting events.

In 2023, Florida 2023 saw a total of 135.0 million visitors, with 122.9 million domestic visitors, 8.3 million overseas visitors, and 3.8 million Canadian visitors, according to Visit Florida.