Bookkeeping

AirBnB client

I have a client that is wanting to know what is the best way to review his taxes this year. He owns about 5 AirBnB in Hawaii and he wants to know if it best to get as many tax deductions this year or to less deductions to show a better net profit?

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Answer

  1. 74 Answers

    Hi there, your client should do what is correct and accurate regarding his income and expenses for the Airbnb, not what puts them in the best tax position per se. All income should be reported as well as all allowable expenses associated with running the AirBnB such as utilities, cleaning fees, tax, insurance, mortgage interest, etc. The financial reports for the business should be accurate and forthcoming. I do not know your client’s overall tax situation and can not give specific tax advice. However, your client should work with their tax professional or perhaps a tax strategist to maximize any tax advantages associated with operating the AirBnB.

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