As a general rule, you will need to pay income tax at the usual rate on money earned from hosting on Airbnb.
Your actual tax bill will depend on a few things:
In this case it’s pretty simple.
As long as you also live on the property, if you earn under £7,500 from Airbnb, you don’t need to do anything.
If the property is owned jointly, the Rent-a-Room allowance is split between you two – but so is the Airbnb income, so the total tax is actually the same.
You can also choose to pay tax on your profits (earnings minus allowable expenses), if your Airbnb-related expenses are greater than £7,500.
If you are listing a property that’s not your home, then you will be taxed just like regular business owners:
A special rule: if your property qualifies as a furnished holiday letting (this is what it means), you get a few tax advantages:
In your Airbnb account.
Simply visit your Transaction History page.
We recommend you contact your local City Council before you host on Airbnb, just to be sure.
Otherwise, if you need help paying your Airbnb tax, just sign up to TaxScouts and we’ll do it for you for a flat £119.
Get your self assessment prepared for you online by certified accountants for £119
Our online tax-bot will go over your tax situation and will make sure you won’t overpay your taxes.
You can talk to one of our tax assistants at any time during the process when you have any questions.
We’ll tell you exactly what documents you need and sort them for you online. You just upload them or snap a picture with your phone.
Your certified accountant will go over your details & prepare your tax return for you to review. It will be filed on your behalf once you approve it.
We have a simple online service that guides you through the entire process. Regardless of your reasons for doing your tax return we'll help you get it done right.
We'll prepare your self assessment and help to maximise your CIS tax refund. We have the lowest fees in the industry and you don't have to pay up front if you're eligible for a refund.
Our service allows people living abroad to prepare their income tax return online. We are able to process all returns regardless of your current country of residence.
UK company directors are required to file their self assessment annually. TaxScouts handles this through a simple online process.
Long Lets, Airbnb, Capital Gains. TaxScouts will sort out your self assessment and take away the worry of tracking all the recent tax changes.
TaxScouts ensures the self employed don't overpay on their taxes. We'll help you benefit from all the tax breaks and deductions that can be applied to your return.
At TaxScouts we appreciate that tax returns are highly individual. Before you get assigned an accountant we make sure to understand your circumstances and help you build your optimal tax profile.