BUSINESS

Short-term lease takings to be taxed as normal rental incomes

TAGS: Taxation, Tourism

Owners leasing their properties via short-term rental platforms such as Airbnb and HomeAway will have their earnings taxed at the same rates as regular rental incomes and without having to pay value-added tax, according to a circular released by the Independent Authority for Public Revenue.

Owners who lease their properties out to visitors for short periods will have to pay tax of 15 percent for annual revenues up to 12,000 euros, 35 percent for takings of 12,001-35,000 euros and 45 percent for incomes in excess of 35,000 euros, plus the solidarity levy.

Property owners will be able to declare their incomes annually rather than having to file each stay separately.

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