Taxes

[Alena807]

Any recommendations on who to use for taxes? Is there any platforms that make it easy or do I need an accountant?

[Kelli405]

Hi my question is what type of business is Hosting? Is it a SCorp, LLC, individual, and ect? I’m so confirmare? Im so new to this. I’m so nervous I’m doing it correct. 

[Lorna170]

You can host as an individual and the income is reported on your 1040 schedule E.

You can register as an LLC and file a separate tax return for the LLC, or have the income pass through to you as the owner of the LCC, reported as income on your 1040 Schedule E.

You can register as a corporation and file a separate tax return for the Scorp, or have the income pass through to you as the owner, reported as income on your 1040 Schedule C.

My advice:  Talk to a tax accountant and have that accountant set you up with the best scenario and assist you in understanding how to go forward.  

[Paula]

Hello, @Alena807, welcome to the community 😊

Since our community is a global forum, it might take some time for fellow Hosts in your area to read your post. >>Here<< is the link where you can join the local host club in your area to connect with local Hosts.

Would you have any suggestions for @Kelli405?

[Sophia660]

For managing taxes related to short-term rental listings in Greece, it's advisable to consult with a local accountant or tax professional who is familiar with the relevant regulations and can provide tailored advice. While there may be** platforms that offer tax management services, the complexity of Greek tax laws and the specific requirements for short-term rentals suggest that having an accountant's expertise would be beneficial  

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[Lodge102]

Hi @Alena807 

Navigating taxes for short-term rentals can indeed be complex, but you have options to simplify the process.

While some hosts prefer using an accountant for personalized advice, there are also platforms designed to make tax management easier for property owners. One such solution is Tax Pilot,**

Tax Pilot automates tax calculations, ensures accurate guest charges, and streamlines tax filing and payments, making it a valuable tool for hosts looking to manage their tax obligations efficiently without necessarily hiring an accountant. It's an excellent way to ensure compliance with local, state, and federal tax laws, saving time and reducing the potential for errors. 

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[Holland13]

Hi Alena,

As a new host, I had similar questions and concerns.

I subscribe to Avalara MyLodgeTax and they take care of both confirming ABnB collected taxes and then remitting your taxes for a monthly fee (I’m not affiliated with them, but do use their service).  

What’s more,  I quickly realized how inaccurate ABnB was for one of my Florida rentals when they were collecting only a portion of the 13.5% State, County and Local Tourism tax for my rental in Orlando, FL.  Unfortunately, I had to come out of pocket 7% for every rental booked because I thought ABnB covered it all.  It was my mistake trusting ABnB for collecting and remitting the proper amount and when I brought it up to them, they basically didn’t care and then pointed me to the advanced options of where a host can add additional taxes onto the listing.  It was a costly mistake, so learn from my poor experience!  Hope this helps!