Who is affected by Airbnb income tax?
Private landlords: Declaration from the first euro
Any individual renting out part or all of their property on Airbnb is subject to income tax. This includes occasional rentals of primary residences, secondary homes, or other properties. Even if you rent only one or two nights per year, the income generated must be declared from the first euro, without exception.
Professional landlords: Increased obligations
If you generate income exceeding €23,000 per year, you may be considered a professional landlord. This status entails additional tax obligations, such as affiliation with the self-employed social security system and payment of social contributions alongside standard taxation.
Automatic income reporting by Airbnb
Since 2020, Airbnb is required to automatically transmit the income received by its users to the tax authorities. Whether you are an individual or a professional, the amounts declared to the authorities are thus automatically verified, limiting the risks of non-declaration without consequences.
Penalties for non-declaration
Failing to declare income generated by Airbnb rentals can lead to a tax adjustment. The tax authorities can claim unpaid taxes, with penalties of 10% and late payment interest. In case of proven fraud, penalties can be even heavier.
The micro-BIC regime: a simplified option
A regime suitable for small rental incomes
The micro-BIC regime is designed for landlords earning rental income below €77,700 per year. This threshold allows for reduced taxation by simplifying tax procedures and offering a favorable calculation for those renting occasionally or with modest income.
A simplified declaration
With the micro-BIC regime, declaring your income is very simple. You just need to declare your gross rental income in the appropriate tax form (box 5ND of form 2042C PRO). The tax authorities automatically apply the deduction, without requiring complex calculations or expense deductions.
Partial exemption for small income
If your rental income does not exceed €305 per year, you benefit from full exemption from tax on these earnings. However, even below this threshold, it is important to declare your rental income to stay compliant with the tax administration.
The actual regime: for higher income
Mandatory regime above €77,700 in income
When your annual rental income exceeds the €77,700 threshold, you are automatically subject to the actual regime. This regime is also relevant if your related expenses are high, as it allows you to deduct all actual costs incurred.
Deduction of actual expenses
The main advantage of the actual regime is the possibility to deduct all expenses related to your rental activity, such as management fees, maintenance work, interest on loans, or property taxes. This can be particularly advantageous if your expenses exceed the 50% deduction offered by the micro-BIC regime.
A more complex management regime
Unlike the micro-BIC regime, the actual regime involves more rigorous accounting management. You must keep all proof of expenses and submit a more detailed tax declaration (form 2031 SD). It is often recommended to consult a tax accountant to assist you in this process and optimize your tax situation.
A more advantageous taxation in case of high charges
If your deductible expenses are significant, the actual regime can be more advantageous than micro-BIC. By deducting actual expenses, you significantly reduce your taxable base, which can limit your overall taxation, especially if your charges constitute a large proportion of your rental income.
Comparison of tax regimes: micro-BIC vs. actual regime
| Criteria | Micro-BIC regime | Actual regime |
|---|---|---|
| Annual income | Less than €77,700 | More than €77,700 |
| Deduction | 50% on gross income | No deduction |
| Deduction of expenses | No | Yes (actual expenses) |
| Accounting obligations | Simple (online declaration) | Complex (expense declaration) |
| Recommended for | Occasional landlords | Landlords with high expenses |
How to declare Airbnb income?
Declaration under the micro-BIC regime
If you are subject to the micro-BIC regime, declaring your Airbnb income is straightforward. You need to declare the gross amount of your rental income, without deducting expenses. The tax authorities will automatically apply a 50% deduction on this income, reducing the taxable base. The declaration is made via form 2042C PRO, in box 5ND for the income received.
Declaration under the actual regime
If you fall under the actual regime, the declaration is more detailed. You must indicate your net rental income, after deducting actual expenses such as management fees, work, loan interest, and taxes. This regime offers more advantageous taxation if your expenses exceed the micro-BIC deduction threshold. You must fill out form 2031 SD to specify your income and expenses.
Automatic transmission obligations by Airbnb
Since 2020, Airbnb automatically transmits the income received by users to the tax authorities. This transmission allows the tax office to verify declared amounts and ensure all rentals have been properly declared. It is therefore important to ensure your declarations are compliant with the income received on the platform.
Online or paper declaration
You can declare your Airbnb income either online via your tax account or on paper. Online declaration is often simpler and faster, allowing real-time tracking of your tax file status.
What is the tax rate on Airbnb income?
Taxation according to your tax bracket
The tax rate on your Airbnb income depends directly on your tax bracket. In France, income is taxed progressively. For example, if you are in the 30% bracket, your rental income will be taxed at this rate after the 50% micro-BIC deduction. This means only half of your income will be subject to tax.
Mandatory social contributions
In addition to income tax, Airbnb income is also subject to social contributions of 17.2%. These contributions apply on net income after deduction or allowance of expenses. They concern all landlords, regardless of their fiscal regime (micro-BIC or actual).
Tax rate for 2024
The progressive tax schedule for 2024 includes several brackets:
| Income bracket | Tax rate |
|---|---|
| Up to €11,294 | 0% |
| From €11,295 to €28,797 | 11% |
| From €28,798 to €82,341 | 30% |
| From €82,342 to €177,106 | 41% |
| Over €177,106 | 45% |
Thus, the rate applied to your rental income will depend on your overall fiscal situation, taking into account both your Airbnb earnings and other income.
Example of tax calculation
If you received €10,000 in Airbnb income, the 50% deduction of the micro-BIC regime will reduce the taxable base to €5,000. If you are in the 30% bracket, your tax on this income will be €1,500 (30% of €5,000), plus social contributions of 17.2% (€860), for a total of €2,360.
Possible exemptions for certain rentals
Exemption for renting out a room in the main residence
It is possible to benefit from a tax exemption if you rent out one or more rooms of your main residence on Airbnb. For this, your rental income must not exceed €760 per year. This exemption allows you not to pay tax on these earnings, as long as you respect this threshold. However, if this amount is exceeded, all income becomes taxable.
Exemption for small seasonal rentals
If you rent out a room or a property for short stays, especially to seasonal workers, you can also be exempt if certain conditions are met. These rentals must be carried out under “reasonable” conditions, and the room must be the main residence or temporary residence of the tenant.
Declaration obligation despite exemption
Even if you are exempt from tax on your Airbnb income due to the €760 threshold or other criteria, declaring these earnings remains mandatory. This obligation allows the tax authorities to track all income received and ensures your compliance with current tax regulations.
Example of applicable exemption
If you rent out a bedroom in your main residence and receive €700 for the year, you will be exempt from tax on this income. However, you still need to declare it in your annual return to fulfill your tax obligations, even though you will pay no tax on this amount.
Exemptions depending on the type of rental
| Type of rental | Conditions | Tax exemption |
|---|---|---|
| Rental of main residence (bedroom) | Income < €760 per year | Yes |
| Rental of secondary residence | Income < €305 per year | Yes |
| Rental of rooms to seasonal workers | Furnished rental with “reasonable” rent | Yes |
The tourist tax, an additional obligation
Mandatory collection of tourist tax
As an Airbnb host, you are required to collect the tourist tax from your tenants. This tax is paid directly by travellers and varies depending on the municipality where your property is located. It is intended to fund local tourism development, and its application is mandated by most local authorities.
Variable amount depending on location
The amount of the tourist tax depends on several factors, including the type of accommodation (apartment, house, guest room) and the municipality. Some cities or tourist regions apply higher rates due to their attractiveness. It is important to check local regulations to know the exact amount you must apply.
Airbnb simplifies the management of the tax
To simplify this obligation, Airbnb automatically collects the tourist tax for you in most cities. This means the platform deducts this tax directly from tenants and remits it to the relevant municipality, saving you from managing it yourself. However, it is recommended to verify if this service is active in your city, as some municipalities still require manual management.
Transparency for tenants
Tenants are informed of this tax at the time of their reservation on Airbnb. The amount is clearly shown on the final invoice, preventing misunderstandings. The amount of the tourist tax is added to the rental fees and does not constitute taxable income for you as the host.
