Who is affected by Airbnb income taxation?
Private landlords: Declaration from the first euro
Any individual renting part or all of their property on Airbnb is subject to income tax. This includes occasional rentals of primary residences, secondary homes, or any other property. Even if you rent only one or two nights a year, the income generated must be declared from the first euro, without exception.
Professional landlords: Increased obligations
If you generate significant 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 in addition to 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 administration are therefore automatically checked, limiting the risk of non-declaration without consequences.
Sanctions for non-declaration
Failing to declare income generated by Airbnb rental can result in a tax adjustment. The tax authorities can claim unpaid taxes, with penalties of 10% and late interest. In case of proven fraud, sanctions can be even heavier.
The micro-BIC regime: a simplified option
A regime suitable for small rental income
The micro-BIC regime is designed for landlords earning less than 77,700 € annually. This threshold allows for lighter taxation by simplifying tax procedures and offering a favorable calculation for those who rent 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 deduction of expenses.
Partial exemption for small incomes
If your rental income does not exceed 305 € per year, you benefit from full tax exemption on this income. However, even below this threshold, it is important to declare your rental income to stay in compliance with the tax authorities.
The actual regime: for higher revenues
Mandatory regime beyond €77,700 of income
When your annual rental income exceeds the threshold of 77,700 €, you are automatically subject to the actual regime. This regime also becomes relevant if your expenses related to rental are high, as it allows you to deduct all actual expenses incurred.
Deduction of actual expenses
The main advantage of the actual regime is the ability to deduct all expenses related to your rental activity, such as management fees, maintenance work, interest on loans, or property taxes. This can be especially beneficial if your expenses exceed 50% of the deduction offered by the micro-BIC regime.
A more complex regime to manage
Unlike the micro-BIC regime, the actual regime requires more rigorous bookkeeping. You must keep all supporting documents for your expenses and submit a more detailed tax return (form 2031 SD). It is often recommended to consult an accountant to assist you and optimize your tax situation.
More advantageous taxation if expenses are high
If your deductible expenses are significant, the actual regime can be more advantageous than micro-BIC. By deducting your actual expenses, you significantly reduce your taxable base, which can limit your tax burden, especially if your expenses represent a large part 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) |
| Bookkeeping 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 simple. You need to declare the gross amount of your received rents, 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 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 expenses such as management fees, work, interest, and taxes. This regime allows for more advantageous taxation if your expenses exceed the threshold of the micro-BIC deduction. You must fill out form 2031 SD to detail 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 authorities to verify the declared amounts and ensure all rentals are properly declared. Therefore, it is 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 through your account on the tax site or on paper. Online declaration is often simpler and faster, allowing real-time monitoring 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 by brackets. For example, if you are in the 30% bracket, your rental income will be taxed at this rate after the 50% deduction in the micro-BIC regime. 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, amounting to 17.2%. These contributions apply to net income after deduction or expense deduction. They concern all landlords, regardless of their tax regime (micro-BIC or actual).
Tax rate for 2024
The progressive tax brackets for 2024 include 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 tax situation, considering both your Airbnb income and other revenues.
Example of tax calculation
If you earned €10,000 from Airbnb, the 50% deduction of the micro-BIC regime would 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% (which is €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 to avoid paying taxes on this income, provided you respect this limit. However, if this amount is exceeded, all income becomes taxable.
Exemption for small short-term 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 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 this income remains obligatory. This obligation allows the tax authorities to monitor all income received and ensures compliance with current tax regulations.
Example of applicable exemption
If you rent out a room in your main residence and receive €700 for the year, you will be exempt from tax on this income. However, you will still need to declare it in your annual tax return to meet tax obligations, even though you will not pay any tax on this amount.
Exemptions depending on the type of rental
| Type of rental | Conditions | Tax exemption |
|---|---|---|
| Rental of main residence (room) | 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 the tourist tax
As an Airbnb landlord, you are required to collect the tourist tax from your tenants. This tax is paid directly by the travelers and varies depending on the municipality where your property is located. It is intended to fund local tourism development and is mandated by most local authorities.
An 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 impose higher rates due to their attractiveness. It is important to check local regulations to know the exact amount you need to apply.
Airbnb simplifies tax management
To simplify this obligation, Airbnb automatically collects the tourist tax for you in most cities. This means the platform directly deducts this tax from tenants and remits it to the relevant municipality, saving you from handling it yourself. However, it is advisable 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 stated on the final invoice, preventing any misunderstandings. The amount of the tourist tax is added to the rental fees and does not constitute taxable income for you as a landlord.
