New Zealand tax

[David543]

As a new Airbnb host in New Zealand I want to hear comments from Kiwi hosts in regards to submissions of Airbnb earnings for IRD purposes.

[Diane360]

I rang IRD. I have a flat in my house. I was told to complete the form for a rental property. And to measure the area of the flat and the area of the house and calculate the percentage area of the flat. Then that percentage can be deducted from power, rates, insurance, wifi etc. You can also claim expenses for cleaning etc. There is also the cost of any food etc supplied. You would also be able to claim depreciation on the chattels ie beds, TV, bedding etc. A previous poster is correct, You can claim for the period the area is available for rent not nights booked.

I don't think you can claim for capital costs for setting it up eg new bed, bedroom furniture, bedding unless you have set up a business. But I am not sure about this. I also suppose this raises the whole question of "is it a business" and is GST involved?

[Jayne36]

 I have been operating a Bed and Breakfast for over 5 years now, we are listed on Air BnB amongst others. I HIGHLY recommend an accountant, it pays.  There are other things to consider too such as Consent from your local council (varies from place to place)  Insurance - if you have paying guests , your insurance company need to know, in some cases (varies on who you are with) you may need commercial insurance.  You need a Health & Safety policy (your home is now a workplace) , Fire Safety including smoke alarms, escape plans and signage (the fire service offers free advice ) Tag & Testing of ALL appliances (TV, Hairdryers, Iron, Electric Blankets etc) that any guest will come into contact with if its not hard wired must be done every 2years  - cost is about $5 per appliance If you are seerving food you must be aware of your obligation under the Food Safety Act. There are several other acts that apply too. I have written an article that I am happy to e-mail to anyone thats interested. We take our business seriously and have gained a 4+ star rating with Qualmark. Remember you are now a Business and Commercial if you make any sort of profit so all these regulations do apply to you.  

[Mary1294]

Excellent advise regarding the H & S issues. Thank you.

[Sherry3]

Hi, Jayne,

Can you please email the article you written for me ?  Really respect your experience and effort put on this business. I started up a small airbnb business just recently. It seems there are lots of things I am not known of.Here is my email : ** Thanks a lot!

Sherry

**[E-mail address hidden due to safety reasons - Community Center Guidelines]

[Samuel314]

Evening Jayne, 

Am i able to gain a copy of this article please **

Thank you 

Samuel

**[E-mail address & phone number hidden due to safety reasons - Community Center Guidelines]

[Annita4]

Hello Jayne,  I would be grateful to receive a copy of your article thanks, to ***. Also can you please tell me when doing your End of Year tax returns through your accountant, do you provide them with the figure for Net Income received into your bank account or the Gross amount that Air BnB receive from all your guests, or the figures from your nightly listed rates as advertised? Thank you, Cheers, Annita

**[E-mail address & phone number hidden due to safety reasons - Community Center Guidelines]

[Lisa-and-George0]

Hi would be keen to read your article please. 

[Kristel10]

I would be interested to read your blog 🙂

can you send me a link?

[Liz56]

Hi Jayne may I please get a copy of your article. From November we will be setting up our house to start running airbnb. Thank you

[Mary977]

BRILLIANT!   Thank you so much for taking the time to share your valuable knowledge....

[Hannah610]

I'd love a copy please! hsmeads@gmail.com

[Ramesh25]

Very enlightening...Could you pls send me a copy of this article to newfootprint@gmail.com.  Many thanks

[Sally787]

@Jayne36 Hi there - I see that this post isn’t recent, but I’d love a copy of the article that you refer to. 

My email address is salcantrell@gmail.com

Thank you, in anticipation. 

As an aside, it’s always a thrill to come across someone from Gore. I was born there! 

Cheers, Sally

[Yuls0]

Hi Diane 

Did IRD actually confirmed that you can claim for the period the area is available for rent not nights booked?

thank you! 🙂 

[Ria16]

I also filed my own IR3 for the first time ever and I’m not sure if you guys know that IRD will actual come around to your place to help you with getting your accounts in order. ( if you can’t make one of their business seminars)

My tax officer was great, she showed me how to keep my books tidy and up to date and like Diane we worked out the sq metres of my rooms and how much of a percentage I could claim on most of my bills like WiFi, mortgage interest , insurance, maintenance,rates etc.At the end of the day they don’t want you to fail. So do give them a call if you get stuck on anything 😉