Hosting for someone else for free, tax implications

Hosting for someone else for free, tax implications

Hi I host my family members property on my profile for free, the listing is in my name, all income goes directly to their bank account. What will this mean for tax? Will this effect me from hmrc or them?

5 Replies 5
Mike-And-Jane0
Top Contributor
England, United Kingdom

@Stephanie2557 I assume Airbnb will report the income as being yours and you will then need to convince HMRC that you are hosting for zero reward and that the income is actually going to someone else. It will help a lot if they declare the income (as they are required to do).

Yes this is my concern, hopefully proof that 100% of the income is going to their bank account will be okay. They do declare all income.  

Helen3
Top Contributor
Bristol, United Kingdom

How is all the income going into their accounts/ have you set them up as a cohost and are paying them a 100 per cent of fee income? @Stephanie2557 

 

If so they then need to declare the income and if they are in the UK pay tax here - they will  need to speak to an accountant around any dual taxation if any with the republic.

Yes 100% goes to them and they do declare all income to hmrc, I was just concerned that I would be expected to pay tax aswell as it is in my name although 0% comes to me. 

Hello @Stephanie2557 , 

 

I was wondering if you got any more information about this. I live in England and have a listing for my parents in law but I don’t get any money from it. All of it goes straight away to their bank account and they of course declare it to HMRC and pay their tax. I always thought it was pretty simple to prove as the money doesn’t go to my bank account but now Airbnb is asking me to fill a tax form which I know it won’t change my tax situation but also made me rise some questions about it. 

Thanks in advance, 

 

Catalina