What Being An Airbnb Host Means for Your Taxes

If you’re an Airbnb host or have been in the past, you need to be aware that Airbnb has announced they are legally required to inform the Revenue Commissioners with details of Irish homeowner’s income derived from them.

Previously, many Airbnb hosts believed these monies were not subject to tax, as they believed they were entitled to the Rent a Room Relief tax exemption (which is a €12,000 tax free threshold for those letting rooms).

However, Revenue have clarified that short-term lets to guests including where such accommodation is provided through online accommodation booking sites, do not fall within the terms of Rent a Room Relief.

How will Airbnb hosts be taxed?

The rate of tax applicable will depend on what other sources of income is earned by each host, as all income must be declared in your Income Tax Return i.e. whether you are liable at the standard rate of tax or the higher rate of tax.

Can I claim any relief?

Allowable expenses can be off-set against Airbnb income so therefore, hosts are advised to retain all receipts in relation to expenses incurred through the activity of being an Airbnb host.

What do hosts need to do?

If this is your first time filing, here are the basic details you need to know:

•  If you do not receive an Income Tax Return Form from the Revenue, it is your own responsibility to source and complete a form.

•  The income from Airbnb is considered trading income rather than rental income and so should be detailed under this section.

•  The 2014 tax return is due to be filed by the 31st of October 2015.

We hope this helps you understand your tax obligations as an Airbnb host. For more tax advice, or for help in filing your income tax return, contact our expert team today.

Get a Quick Quote

Please complete our simple form to receive a free, no obligation quote from our Certified Accountants within 1 working day.
{{ errors.first('step1.first_name') }}
{{ errors.first('step1.last_name') }}
{{ errors.first('step1.email') }}
{{ errors.first('step1.phone_number') }}
My Income Source (tick any that apply)
Please choose a least one income source

Additional Information

Please add any other relevant details that will help us to process your quote.
Submit

Rental Income

Where are you resident?
Please select your residency status
How many rental properties do you own? (tick one)
Please select number of properties
How many tax years need to be filed?
Please select number of years to file
Additional Information.
Submit

Other Income

Please add all relevant details of your income sources here.
Please add details
NOTE: If you are a full time, salaried employee (PAYE only) and are looking for tax back, you do not need to file a tax return. Head to irishtaxrebates.ie to claim your rebate.
Submit

Trading Income

Please add all relevant details of your income sources here.
{{ errors.first('step2_trading.trade_description') }}
What is your approximate annual turnover?
Please select your annual turnover
Go Back
Next Step
Next Step

RCT Subcontractor Income

Any additional self-employed income to be declared (not through RCT system)?
Please select an option
Please enter your additional forms of income
What is your approximate annual turnover?
Please select your annual turnover
Go Back
Next Step
Next Step

Final Details

How many tax years need to be filed?
Please select number of years to file
Are you registered for VAT?
Please select an option
Do you have any employees?
Please select an option
Submit