Disclaimer: This content is intended for general informational purposes only and should not be construed or relied upon as tax, legal or financial advice, or applicable to your particular situation. You should consult with your own tax advisor regarding your tax obligations. The views expressed in any of these resources do not represent the views and are not affiliated with or endorsed by Vrbo or Expedia Group in any way.

 

Step 1: Export your Payout Summary

To reconcile the amounts in Box 2 or Box 7a of your Form 1042-S you need your Payout Summary for the previous calendar year. This report includes all payment and refund transactions processed through Vrbo’s payment platform. Data is organized by listing number (Property ID) in column A.

Important: If you are the bank account owner/beneficiary and don’t have a Vrbo partner account, your property manager (the Vrbo partner account holder) will need to complete the following steps.

To download your Payout Summary:

  1. Log in to the Vrbo Owner Dashboard.
  2. In the menu, go to Payments, then Statements and reports.
  3. In the Payout summary tab, select the Start and End dates for the previous calendar year.
  4. For Includes, choose Payouts within this date range.
  5. Select Download.
  6. Save the report immediately after downloading.
    • Note: Download speeds may be slow due to the amount of data for an entire year.

 

Step 2: Reconcile Form 1042-S with the Payout Summary

Once you have the Payout Summary:

  • Box 2 should generally agree to the sum of all reportable payment and refund transactions in the Gross Booking Amount column minus the sum of the Lodging Tax Owner Remits column.
  • Box 7a should generally equal the sum of all reportable payment and refund transactions in the Tax Withheld column.
    • Note: If your transactions are in a currency other than U.S. dollars (USD), Vrbo converts all amounts to USD for Form 1042‑S reporting.

 

Multiple forms

If your bank account(s) were associated with different tax IDs or payee names during the calendar year (even for the same listing), there will be a separate Form 1042-S for each tax ID or payee name.

If you receive multiple Forms 1042-S, you may see that one has a withholding amount in Box 7a, but the other doesn’t. This is because there were different W-8 form types on file during the last calendar year.

To reconcile the sums on the Payout Summary, you may need to combine amounts across each Form 1042-S.

Example 

If you completed a tax Form W-8BEN (or W-8BEN-E) in February, then updated to a tax Form W-8ECI on June 1st:

  • From February to May: Disbursements were subject to withholding. The withheld amount will be shown on one Form 1042-S, along with the gross income.
  • From June to December: Disbursements were exempt from withholding, and no money was withheld. This will get a separate Form 1042-S showing the exemption and -0- withholding, along with the gross income.

 

Disputes 

If your reconciliation shows different amounts, contact Vrbo Support. You will be asked to provide the reconciliation as supporting documentation.

Important: If you are the bank account owner/beneficiary and don’t have a Vrbo partner account, you will need your property manager (the Vrbo partner account holder) to contact Vrbo Support. 

 

Need more support? 

If you need help reconciling your Form 1042-S at the transaction level, consult your tax advisor.