Guide · Edinburgh visitor levy
How to refund guests overcharged the visitor levy
If a guest paid levy they didn't owe, refund it to them and don't pay it to the council. The most common case is Booking.com charging the levy on nights 6 onwards of a long stay: refund the levy charged on those nights.
Which guests do I need to refund?
Anyone charged levy on nights or stays that aren't liable.
| What happened | Refund |
|---|---|
| Levy charged on nights 6 onwards of a booking | The levy charged on those nights |
| Cancelled before arrival, or the guest never showed up | All the levy collected |
| Stay started before 24 July 2026 | All the levy collected |
| Booked and paid, non-refundably, before 1 October 2025 | All the levy collected |
| Guest arrived, then got money back (for example, left early) | No refund of levy: it's still due on the full stay |
| Guest says they're exempt | No: they claim it back from the council |
A platform may refund the levy itself when a booking is cancelled. If it doesn't, VisitScotland's guidance says you refund the guest directly.
How much do I refund on a long stay?
The levy actually charged on nights 6 onwards.
If the booking shows the levy for each night, add up nights 6 onwards. If not, take 5% of the price of nights 6 onwards (after any discount). Use each night's price as booked, not your calendar. How to work out the 6th night onwards.
Example: a 7-night Booking.com stay costs £950, including an £80 cleaning fee, and Booking.com charged 5% city tax on all of it: £47.50. Nights 6 and 7 cost £120 and £150, so the levy charged on them was 5% of £270, which is £13.50. That's the refund. The other £34.00 is what you owe the council.
If Booking.com also left your cleaning fee out of the city tax, keep that separate. You still owe the council the levy on the cleaning fee.
How do I refund a Booking.com guest?
It depends on who took the payment.
- Booking.com took it (Payments by Booking.com): Booking.com refunds the guest. If it hasn't paid you for that booking yet, it holds back the payout. If it has, it takes the refund from your next payout, or sends you a debit note.
- You charged the guest's card yourself: refund the amount the same way you took it.
I couldn't find Booking.com's official steps for a partial refund in the extranet. If you can't see a refund option on the reservation, ask Booking.com's partner support.
How do I refund an Airbnb guest?
Use the Resolution Centre.
Click Resolution Centre, then Send money. Choose the reservation and a reason, enter the amount and a message for the guest, then send it. Airbnb says to do this within 60 days of checkout, and once sent, the payment is final.
Does a refund change my return?
No.
Your return uses what the guest paid without the levy, so the refund doesn't touch your figures. Leave cancelled bookings and stays that started before 24 July 2026 out altogether.
Want to know who you've overcharged?
In a 60-minute video call, we do your return together, list every guest you've overcharged, and fix the settings that caused it.
Sources: City of Edinburgh Council, Visitor Levy Scheme guidance (Version 2.1, September 2026), on cancellations, refunds, the 5-night cap and stays before 24 July 2026; VisitScotland, Visitor Levy FAQs for Accommodation Providers, section 5.3; Booking.com Partner Hub, Payments by Booking.com FAQs; Airbnb Help Centre, refund your guest and request or send money in the Resolution Centre. This is general help with the process, not tax advice.