Mixed-supply VAT handled. OTA commissions reconciled. Reliefs captured. Specialist accounting for UK hotels, B&Bs, guest houses and serviced accommodation. Mixed-Supply VAT OTA / Booking Reconciliation Occupancy & RevPAR Fit-Out Capital Allowances Tronc & Tips Fixed Monthly Fees
Most hoteliers come to AccTek — specialist hotel accountants — wrestling with one or more of these.
Rooms, food and functions can each be treated differently for VAT — and deposits add timing rules on top.
Booking.com and Expedia pay net of commission, so payouts never match your PMS or bank.
You can’t see occupancy, ADR or RevPAR alongside the P&L to manage rate and demand.
A refurb or fit-out is full of qualifying plant and integral features — capital allowances often go unclaimed.
No tronc, or one run by the hotel — so tips and service charge cost you National Insurance.
Your current accountant treats a hotel like any other company.
A hotel is several businesses under one roof — rooms, food and beverage, functions — each with its own VAT and margin. AccTek is built for that, with an ACA-qualified team that reads a PMS, an OTA statement and a capital-allowances schedule as fluently as a P&L.
A dedicated, ACA-qualified accountant who understands mixed supply, OTAs, occupancy and fit-out reliefs.
Rooms, food and functions classified and timed correctly, deposits and cancellations included.
Booking.com, Expedia and your PMS tied back to real revenue, commission and VAT.
Operational KPIs reported next to the P&L so you can manage rate and demand.
Qualifying plant and integral features in refurbs identified and claimed, not missed.
A compliant, independent tronc so tips are free of NI and meet the 2024 Tips Act. See our guide.
Nella is the AI assistant inside the AccTek Finance Lab. Message her like you'd text a colleague and she answers from your real, reconciled Xero numbers — in seconds, any time. She understands UK limited company tax, director remuneration, and SME financial management, and she knows exactly where her job ends and your accountant's begins.
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Real questions directors ask — answered from your own live numbers.
Illustrative examples · Nella answers; your chartered accountant signs off.
“Our rooms, restaurant and events VAT was a tangle. AccTek separated the streams and the returns are clean now.”
Owner — Boutique hotel
“They reconcile Booking.com and Expedia against our PMS every month — commissions and revenue finally tie up.”
Director — Country house hotel
“On our refurb they found capital allowances our old accountant would have missed entirely.”
Co-owner — Guest house
A hotel is a mixed supply, and each stream has its own treatment. Room accommodation is standard-rated at 20%, as are on-premises food and function or event income; deposits can create an earlier tax point, so timing matters, and cancellations and no-shows need handling correctly. We make sure each stream is classified and timed correctly across your PMS and returns, review whether the Flat Rate Scheme (currently 10.5% for hotels) helps, and confirm the treatment for your exact revenue mix before filing.
Online travel agents such as Booking.com and Expedia pay you net of commission, and the timing rarely matches your property management system or bank. We reconcile OTA statements, your PMS and your bank so gross revenue, commission cost and VAT all land correctly — and report occupancy, ADR and RevPAR alongside the P&L so you can manage rate and demand, not just look back at them.
A hotel fit-out or refurbishment is full of qualifying plant, machinery and integral features — kitchens, lifts, heating, lighting, sanitaryware and more — that attract capital allowances, including the Annual Investment Allowance (currently £1 million a year). We identify the qualifying elements so significant refurbishment spend reduces your tax rather than being overlooked.
If tips and service charges are allocated by an independent troncmaster rather than the hotel, they are not earnings for National Insurance, so they carry income tax only — removing the employer’s 15% and the employee’s 8% NICs (2026/27), with income tax still due and the 2024 Tips Act met (see our tronc guide). We run shift payroll within National Minimum Wage rules, and for 2026/27 model director extraction — salary around the £12,570 personal allowance plus dividends (£500 allowance; 10.75% / 35.75% / 39.35%), company profits at 19% up to £50,000 tapering to 25% over £250,000.
We work across the accommodation sector and structure your accounts around how you trade:
Part of our wider hospitality accounting service — see also restaurant accountants and pub accountants.
An ACA-qualified accountant who understands mixed supply, OTAs, occupancy and fit-out reliefs.
PMS, OTA and bank data reconciled into Xero, with occupancy and RevPAR reported.
Mixed-supply VAT, shift payroll, a compliant tronc, capital allowances and MTD filing.
A hotel mixes several revenue streams — rooms, food and beverage, and functions or events — that can each be treated differently for VAT, alongside OTA commissions, occupancy reporting, capital allowances on fit-outs, tronc and shift payroll. A specialist brings these together correctly, captures the reliefs and keeps you compliant.
A hotel is a mixed supply: room income, food and beverage, and function or event income can each carry a different VAT treatment, and deposits, cancellations and no-shows have their own timing rules. Getting each stream classified and timed correctly is central to a hotel VAT return. We confirm the correct treatment for your revenue mix before filing.
Yes. OTAs such as Booking.com and Expedia pay you net of commission, and the timing rarely matches your PMS or bank, so gross revenue, commission cost and VAT all need reconciling. We tie OTA statements, your property management system and your bank together so the numbers are right.
A hotel fit-out or refurbishment usually contains significant qualifying plant, machinery and integral features — from kitchens and lifts to heating, lighting and sanitaryware — that attract capital allowances, including the Annual Investment Allowance (currently £1 million a year). We identify the qualifying elements so the spend reduces your tax rather than being missed.
If tips and service charges are allocated by an independent troncmaster rather than the hotel, they are not earnings for National Insurance, so they carry income tax only — removing the employer’s 15% and the employee’s 8% NICs (2026/27). Income tax still applies and the tronc must meet the 2024 Tips Act. Our tronc and tips guide explains it in full.
A common 2026/27 structure is a salary around the £12,570 personal allowance topped up with dividends, mindful of the £500 dividend allowance and rates of 10.75% / 35.75% / 39.35%. Company profits are taxed at 19% up to £50,000, tapering to 25% over £250,000. We model the optimal split for you.
Fixed monthly fees • Dedicated ACA accountant • Mixed-supply VAT & OTAs • Reliefs, tronc & payroll
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Godwin Pinto ACA is a chartered accountant and founder of AccTek with 20+ years of experience accounting and tax for contractors, startup and SME .
AccTek is a member firm of the Institute of Certified Practising Accountants (ICPA). Our accountants have a wide range of qualifications and accreditations from trusted professional bodies such as the AAT, ICPA, and ACCA.
