Has everyone been good and declared their Airbnb earnings to HMRC in the UK?

[Mike-And-Jane0]

I see Airbnb have been charged additional taxes in the UK and also agreed to share with HMRC earnings data for hosts in the tax years 2017-18 and 2018-19.

I hope everyone has declared their earnings - If not it may be time to do so even though there will be a late fine payable.

[Jen89]

@Huma0 

Yes, HMRC expect you to declare the gross amount from AirBnB including the fees that they deduct from your payment. Later in the expenses section you can deduct the fee element as an expense.  It all works out the same in the long run but that's how they recommend you should set out your accounts.  AirBnB will tell HMRC you earned £100 (or whatever the total is) not £97 (or whatever once fees are taken off) which is the amount you actually receive in your bank account.

[Huma0]

@Jen89 

Thank you. That is useful to know. I have always just given my accountant the amounts after fees, so will revise that going forward.

[Helen3]

Have a look at the HmRC site @Huma0 .

It has a list of what you can claim including toiletries, bedding, furniture and other items bought for guest rooms, tea/coffee, specialist insurance  etc

[Huma0]

Thanks @Helen3 . I will certainly take a look at that.

[Harvey28]

Hi,

as you possibly know (se The Times saturday) Airbnb is disclosing income of hosts as it owes a load of tax in UK and has done a deal with HMRC to rat out its hosts in exchange for an abatement😆

[Jen89]

I was wondering why that e-mail re the declaration of AirBnB earnings appeared in my mailbox for those particular tax years.  Now I understand!

[Helen3]

'rat out' - do you think hosts should be a business type that shouldn't have to pay tax for some reason @Harvey28 ?

[Mike-And-Jane0]

@Harvey28 At least it all helps Rishi pay for the furlough scheme

[Harvey28]

my reply censored

[Ian-And-Anne-Marie0]

Considering that Chesky stated in May “This crisis has sharpened our focus to get back to our roots, back to the basics,” this tax deal with HMRC is further evidence that no such support for "roots" homeshare hosts will ever occur. All AirBnb care about is Airbnb - Oh, and making sure that refunds to guests take paramount priority over administering fair cancellation policies. This is and always will be the order of things.