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Does Booking.com pay the Excise Tax since they are collecting it, or do we pay that separately?
I would imagine that each country is different and even within the EU countries there is no tax harmonisation. In Malta EU you need to pay tax and VAT for short term bookings.
Best to check with your local tax authority and have a look here too: https://partnerhelp.booking.com/hc/en-gb/sections/360000265567-Local-taxes