100% cohost payout - But I am still getting taxed for the whole booking amount?

[Kiara73]

Hi everyone!

After never-ending search through the help center I am asking here if anyone can help me through this important issue:

I am in EU, Germany and my Boyfriend is in Greece (also EU). I have made a listing through my account for an apartment in Greece and I am managing this listing. I made my boyfriend co-host and I gave him full access. Additionally, I routed the 100% payment of each booking to go to him. 

He added his information and tax info and theoretically, we are good to go. Unfortunately, AirBnB ask me to provide a payout account and my tax info. If I do that, I will be taxed for the full booking amount, as said here in this following paragraph:

Taxes and payouts

Co-Host payouts will not impact the amount which will be reported to the listing owner for tax information reporting purposes. Listing owners will receive a tax document on the full booking amount, and Co-Hosts will receive a tax document for the amounts they receive as specified by the listing owner.

BUT, I am not actually will be getting any money, as the whole amount will go to my co-host (and he will be taxed for it). But I am asked to provide my German TIN, meaning that I will be also taxed for an amount that I will never receive.

Please help me fix this, I don't either want to do anything illegal nor I want us to be double taxed for an amount that only goes directly to my co-host.

Thank you for your time!

[Mike-And-Jane0]

@Kiara73 I suspect Airbnb is. just following the tax rules. Yes you will declare the full amount but you will also add a cost line in your return of the same amount. You need to talk with your accountant to check this will work.

[Udo6 · Accepted solution]

@Kiara73, Airbnb is required to collect tax information in several countries. I.e. if you are a host in one of these countries (which you are as the owner of a listing), then you will need to submit your tax information whether you are earning income or not.

However, in DE you are usually only taxable on the income you actually receive. No income, no tax 😉

To be on the safe side, ask your local tax office directly how you should handle it. I have always had good experiences with "my" tax offices when I have discussed a matter directly with them.

[Damien517]

The issue here is that Airbnb is taking the shortcut that the main host is the owner of the property. Which, back in the days, was usually not the case. One in the family had a property and one in the family decided to make a small business out of it without owning it (and without thinking of getting the revenues). All that is required is a main host and a co host should be able to be "interchanged"

[Victor384]

I have a similar question here in US, as described here:

https://www.airbnb.com/help/article/3404#:~:text=For%20the%20purposes%20of%20US,and%20Co%2DHost%20pa....

In this article it says Airbnb will issue 1099-K tax document to Listing Owner the FULL booking amount, and will also issue 1099-K to Co-Host.

I'm the co-host taking 15% management fee and 100% cleaning fee. In such case, wouldn't Listing Owner be double taxed on the co-host payout amount? This doesn't make sense. 

[Helen3]

If your BF owns the property and gets all the income it would have been much better if he set it up in his name and added you as a cohost.

if you're helping him manage the listing then he can pay you a commission to cover the cost of your time and effort @Kiara73 

If it's a new listing with no bookings delete your listing and have him set it up in his name.