Whether you are an individual or a professional, how does this work?
As a host on Airbnb, you must declare any and all income you earn. Whether you rent your home on a short term basis or list an Experience on the platform, the income you receive is taxable and must be reported to the tax authorities as part of your annual income tax return. In your Host account, you can access at any time a summary of your transactions and your gross income in the « Progress » tab.
Per French law, starting from 2020 every digital platform that operates in France will be required to report information including income earned and the number of transactions, on a yearly basis, to the national tax authorities. This reporting will start in January 2020 for income generated in 2019. This measure is not retroactive and does not concern your income generated in 2018. The data transmitted to the tax authorities is strictly confidential and will not be shared with third parties.
You will find below detailed explanations that may be useful as a host on Airbnb (Homes and / or Experiences). If you still have questions after reading, we suggest you ask a tax specialist or contact our partner TacoTax.
Simplify your tax reporting process
For several years now, Airbnb has sent you an email every January reminding you of your reporting obligations and a link allowing you to easily access all of your gross income from Airbnb. The platform also provides you with information on the main income tax regimes that may concern you on its Responsible Hosting page.
In January 2020, we will automatically report your gross income for 2019 to the tax authority. However, it will be your responsibility to indicate the same amounts in your tax return (between May and June 2020), since the tax authorities do not currently have the necessary tools for the pre-tax filing.
In case you have questions, we have established a partnership with TacoTax, which can give you more information and can also accompany you in your reporting. TacoTax will provide you with:
- Simple and intuitive online technology to answer tax questions depending on your situation
- A detailed guide to taxation on your Airbnb revenue. See the guide
- A page where you can ask TacoTax experts your questions about your host activity on Airbnb
- A dedicated telephone line accessible from France or abroad, to go live the 1st of December: +33 01 87 66 22 36
Automatic transmission: what does it change for you?
Individual, professional, co-host: are you concerned?
Yes, all host users, individuals or professionals, who have an account on Airbnb and have received revenue via Airbnb are concerned, whether you are a host or a co-host.
What information will be communicated to the Tax authorities?
For all users:
- Revenue generated on the platform for the previous calendar year (between January 1st and December 31st). This is the gross income, which can be found here (available by downloading the .csv file). It includes for homes hosts the price of the rental, cleaning fees and the Airbnb host service fees. In order to calculate the gross income, you must add up the amounts linked to the columns, Paid Out, Host Fee and Cleaning Fee, that you can find on the right of the .csv file that you have downloaded.
- Number of transactions made on the platform (between January 1st and December 31st)
- Bank reference details (IBAN or Paypal account)
To this will be added, depending on your status (individual or professional):
For individuals :
- Surname, first name, date of birth, email address, phone number, email address
For users who have earned more than € 1,000 a year on the platform (between January 1st and December 31st), the platform will have asked the users concerned to carry out an additional identity verification, by one of the following means: copy of the identity card /passport OR tax ID number (available on your tax return and in your private area on www.impots.gouv.fr).
For professionals :
- Business name
- Place of establishment on 1 January of the year of transmission
- Intra-community VAT number OR, if the professional does not have it, ID number as defined in Article R. 123-221 of the French Commercial Code OR for a non-resident company, registration number with the tax authorities of the country of residence.
Regarding the aforementioned information (name, status of individual or professional, etc.) Airbnb will provide the items in its possession as of January 10, 2020. You are invited to check and update them if necessary in your Host account here (« Taxpayer information » section). In the event that you do not fill in the information requested on your Host account, before this date mentioned above, Airbnb will send the information available to the tax administration.
What amount will Airbnb report to the tax authorities?
In accordance with the law, Airbnb is required to provide the gross revenue that the hosts have generated via the platform (see the public finance bulletin: « the amount to be indicated is the total gross amount of transactions including the remuneration of the platform due by seller »).
As a host on Airbnb, this amount includes :
- if you rent your accommodation: the price of the rental, including the cleaning fees and the Airbnb host service fee
- if you list an Experience: the price of the Experience including the Airbnb host service fee
It is this « gross earnings » amount that you will have to carry forward into your annual tax return.
Does automatic transmission change the tax regime applied to my revenue generated on Airbnb?
No, whether professional or individual, the automatic transmission does not change the tax regime associated with your income. You can find more information about taxation on our Responsible Hosting page. You can also consult this summary sheet of the Ministry of Economy and Finance on the taxation of furnished rentals, and this sheet from URSSAF on social security, and / or contact our partner TacoTax for further support.
Are these changes related to the withholding of tax implemented in France in 2019?
There is no withholding from the platform. Income generated by users will be treated according to the same rules as those applicable to all revenues without third-party collectors.
Nevertheless, the introduction of tax withholding in 2019 was accompanied by the taking of installments for income without third collectors, which remain declared the following year. The amount of these instalments is adjusted each year, once your income from the previous year is made known to the tax authorities. You can manage your monthly instalment by deleting or modifying it in your particular area on the impots.gouv.fr website.
Will the data sent to the tax authorities be shared with the local authorities (cities…) or with other third parties (lessors, etc.)?
No, the data transmitted to the tax authorities in this context are strictly confidential and will not be shared with any body other than the tax authorities.
Professionals: is it up to me to declare the income of the person I manage the accommodation for?
No, your responsibility is to inform and remind the hosts whose listing(s) you manage that they must declare their income themselves.