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Associated Press

Airbnb meets hosts after telling the tax man about them

The company will supply information to the Revenue Commissioners dating back to May 2014.

Updated 20.45

A PUBLIC MEETING was held tonight at Airbnb headquarters in Ringsend to address any concerns its customers have about their details being handed over to the Revenue Commissioners.

Last week the company informed its users that it is set to supply the Revenue with information on its hosts’ rental income.

The company will be supplying figures on the amount earned by Irish resident hosts on properties they own both here and abroad.

Hosts with properties here who are based outside the country will also have their rental income supplied in regard to Irish properties they own.

Hosts were unhappy with how the meeting went, according to RTÉ.

The broadcaster said there was no tax or legal expert present to give clarity on the situation.

Rental income 

The company is legally obliged to supply the information to the Office of the Revenue Commissioners. It operates under similar terms in relation to reporting income in the United States.

It will be fulfilling its obligation for its annual corporate filing in September for the first time.

shutterstock_201284507 Shutterstock / 360b Shutterstock / 360b / 360b

Information supplied will date back to May 2014 when the company established its base here.

There was a presentation from the Airbnb Ireland team followed by a Q&A session.

In a statement to TheJournal.ie last week, an Airbnb spokesperson has said:

Over the past few months, we have been working with Revenue Commissioners to understand how this requirement applies to Airbnb and our community. Now that we have clarity, we want to let our community know and address any questions they may have.

One Fianna Fáil councillor has raised concerns that cracking down on websites like Airbnb will further fuel the accommodation crisis in Dublin.

Dun Laoghaire Rathdown Councillor Cormac Devlin said it’s unreasonable to expect someone who has let out their home for a few days a year to pay heavy tax on the small level of earnings.

However he said those using the system to make a substantial income should be liable, as they have an unfair advantage over full time B&B owners.

Experts at Taxback.com have said that although Revenue’s decision to look at Airbnb’s hosts taxable earnings will sting hosts financially, they want to allay people’s fears that they are in trouble with the Revenue for not declaring the income.

Barry Flanagan Tax Manager at Taxback.com explained the filing deadline for the 2014 tax year is not until 31 October 2015, so there is no cause for alarm.

Landlords and Airbnb hosts have plenty of time to report this income via their 2014 tax return. No penalties, interest or late fees will be due on this income if the return is filed and tax paid over before the due date.
Airbnb have given all hosts a very clear “heads-up” that Revenue now know about this income, so we would advise that going forward all hosts to ensure they are fully compliant and that income is reported with tax paid on the profits.

Additional reporting Michael Shiels McNamee and Órla Ryan

Read: Now you can stay on Ramsey Street thanks to Airbnb>

Also: It pays to read the fine print when you Airbnb>

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140 Comments
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    Mute Stef
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    Aug 11th 2015, 8:41 AM

    I’d say a lot of Irish homes are breaking out in a cold sweat reading this!

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    Mute Barry Flanagan
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    Aug 11th 2015, 10:57 AM

    While people may not have put aside the tax due on the income received and may well be sweating about where they will find it, there are two important points for hosts –

    1) The tax is due on profits, not income. As Revenue are treating this as trading income, deductions for legitimate trading expenses will also be allowable. Additional insurance, cost of food, cost to make the room/apartment fit for purpose etc can all be deducted.

    2) The info provided to Revenue only goes back to 2014 – so no one should have missed a filing deadline yet. Tax due on 2014 income is only due by 31 October 2015. So Airbnb Hosts have until 31 October 2015 to pay and file their 2014 tax return (or 12 November if via ROS).

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    Mute Patlyndo
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    Aug 11th 2015, 12:46 PM

    Actually Barry,

    You may need to recheck this
    “The info provided to Revenue only goes back to 2014″…

    An Airbnb statement said: “The reporting requirement exists because on 1 May 2014, Ireland became Airbnb’s home base for all transactions outside the United States.

    Airbnb is only required to give information from that date – however, and this is very important – if you are liable for the tax in 2014 and if you are renting rooms since 2010 – then you are liable for everything from 2010 – Airbnb’s “reporting” requirements have got nothing to do with hosts tax liability.

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    Mute Barry Flanagan
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    Aug 11th 2015, 1:03 PM

    Happy to take that correction, Pat.

    Income earned through Airbnb prior to May 2014 is definitely taxable, like income from virtually all sources, unless specifically excluded.

    Airbnb income earned in 2013 is taxable (if you made a profit).

    I was just making the point that AirBnB haven’t provided this info to Revenue – but yes it is up to the individual to ensure they report it.

    86
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    Mute Patlyndo
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    Aug 11th 2015, 1:13 PM

    Hi Barry – they kind of have:

    “It has also released the dates when people first registered properties with the site, allowing Revenue to more easily assess if back taxes are outstanding and, if so, how much.”

    http://www.irishtimes.com/news/ireland/irish-news/revenue-advises-airbnb-hosts-to-file-tax-returns-or-face-penalties-1.2312974

    47
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    Mute Gavin Scott
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    Aug 11th 2015, 5:47 PM

    Dear FG. If you want my vote again, you know what to do. Remove this by morning.

    23
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    Mute Peter J McCarthy
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    Aug 11th 2015, 6:44 PM

    There is another issue which is not being addressed from what I can see. Revenue only clarified this year that Airbnb doesn’t fall under the rent a room scheme and is classed as trading. If someone is selling their family home and they have traded (Airbnb) they are no longer exempt from CGT. As it stands, a family home is exempt from CGT however because they have traded, many people may find themselves with a harsh tax bill when it comes to selling their home. This is an added kick in the teeth for folks who were struggling and used airbnb to help pay the mortgage.

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    Mute Cian O Donoghue
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    Aug 11th 2015, 7:38 PM

    Remove what?

    23
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    Mute Gavin Scott
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    Aug 11th 2015, 8:13 PM

    This stealth tax on the poor. Rather pay for water

    8
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    Mute Tordelback
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    Aug 11th 2015, 11:12 PM

    This is less a stealth tax, and more a tax tax, i.e. a tax on income earned. Which seems fair and transparent, since it applies to everyone (in theory).

    71
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    Mute Gavin Scott
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    Aug 11th 2015, 11:29 PM

    Absolutely no ways this goes through. Simply too many people affected. In fact, the government, or future government, need to draw down a proper and fair way way of taxing rental income from all sources. No way is a couple renting out their own property to pay the mortgage equal to the same as Mr Smith renting out his 5 property portfolio! Effective 51% tax?? Is that fair or reasonable?

    12
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    Mute Boo!-Fight the Board
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    Aug 11th 2015, 11:50 PM

    Pay your tax.

    67
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    Mute E Linehan
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    Aug 12th 2015, 12:48 AM

    I blame Pitt the younger …

    12
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    Mute Dr-Nicovic
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    Aug 12th 2015, 12:56 AM

    It doesn’t remove the CGT exemption, only a portion of it which will be relatively small if you are only occasionally letting a room.

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    Mute James Mc Loughlin
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    Aug 12th 2015, 2:10 PM

    dose this mean that the expenses TDs are not classed as income earned

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    Mute Richard O'Callaghan
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    Aug 14th 2015, 12:03 AM

    @Gavin. It has gone through. It was always there. The rent a room scheme was never for short-term lets.

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    Mute Michael Sands
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    Aug 16th 2015, 1:56 PM
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    Mute Peter Gavin
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    Aug 11th 2015, 8:47 AM

    Income is income and if people tried to pull a fast one and not declare rental fees from Air bnb then they have only themselves to blame if they are in the hot seat now.

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    Mute Karen McCarthy
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    Aug 11th 2015, 12:16 PM

    No one is pulling a fast one. The majority of people who this is affecting are people who host a room within their own house and earn well below the allowed 12k a year under the rent a room relief scheme. We are not asking to earn thousands a month tax free. We are asking to be treated as all other home owners who rent out. Which initially we were told that was the case. The understanding has been that if you earn under 12k it is tax free and anything over that is taxed. Anyone hosting outside of their primary residence was not covered under the scheme. No where is there talk of the tourism we have brought in to the country through hosting on Air BnB, or the fact that hosts promote local Irish businesses and send their guests to restaurants/pubs/shops that they would normally never find.

    52
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    Mute stef
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    Aug 11th 2015, 12:27 PM

    If you rent a room in your own house you are under the rent a room scheme and you don’t have to pay any taxes if your rent income is less then 12000 Euro. So can you explain me why if I rent my spare room on Airbnb and I earn 2000Euro a year I should pay taxes but if I rent the same room to students and earn the same money I don’t have to pay taxes??And why only now the Revenue decided to inform the hosts?If I knew this before I would have rent to students!

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    Mute Patlyndo
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    Aug 11th 2015, 12:42 PM

    Stef, the scheme was introduced for that purpose, renting to students. Many people then let out rooms to friends, or people who needed a room.

    If you rent to private individuals you are not a business.

    If you advertise your property as a holiday let, you are a business.

    Did you inform your insurance company that you wold be giving strangers a key? Nope?

    Have you informed your mortgage provider that you are operating a business out of your home? Nope?

    When you rent the room long term it is let for residential purpose, when you rent it short term – it is guest accomadation……………

    All info available online.

    77
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    Mute stef
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    Aug 11th 2015, 1:09 PM

    Why I should inform my insurance company that I give to strangers the key? The door have two locks and the guests only receive the key for one lock. Several friends, my cleaner and neighbours have my key?should I also inform the insurance?
    I don’t pay any mortgage.

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    Mute Patlyndo
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    Aug 11th 2015, 1:18 PM

    Stef – if your property was robbed and the insurance company was informed that you frequently allowed strangers into your home, provided them with keys, then your insurance would be rendered null and void.

    “The message is to tell your insurer. It all depends on the terms and wording of the relevant policy. But if there is a change in the risk of something happening, the insurance company must be informed so that they’re on notice.”
    He said the company involved can then inform the householder what other steps may need to be taken – so as to ensure the property is covered in the light of changed circumstances.”

    Having a stranger in your home increases the chances of fire and theft…………….

    62
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    Mute stef
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    Aug 11th 2015, 1:28 PM

    Since I am disabled it is unlikely that my guests will rob me about something because I am always at home :). Most of the time actually they are very helpful and do the shopping for me since to go to the store it is not always easy for me. And anyway if I was robbed and the insurance won’t cover me it is my business. I don’t have anything very expensive in my place anyway.
    Also guests don’t have access to the kitchen so the risk is fire is very low, and again, I am always at home.
    But what’s the problem with you and why you are so interested about the Airbnb hosts?

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    Mute Patlyndo
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    Aug 11th 2015, 1:55 PM

    Stef, you are the one with the problem, I am merely telling you why you are liable to tax, according to both the revenue and the rules pertaining to the rent a room scheme.

    I have no issue with Airbnb hosts – the revenue does. It doesn’t matter which way you want to cut it, it doesn’t matter what the guests do or don’t do in your home.

    The only thing that matters is that you receive an income into your home and you don’t pay tax on it.

    67
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    Mute stef
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    Aug 11th 2015, 2:58 PM

    you really don’t understand that the way that Revenue presents the rent a room scheme is not clear and this is the reason why many hosts are now angry, I assure you I am not the only one with this problem.
    If revenue set up much better rules before we will be not complaining about this now.
    the rent a room is only for students. ok, so we need to have a proof of their studies here in Ireland, is this correct?
    for how long??1 weeks?3 weeks?6 months?where is written the period of time that the host can take the guest. Please copy and paste this information for me, because I can’t find it.

    11
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    Mute Kal Ipers
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    Aug 11th 2015, 4:05 PM

    Revenue often change their minds and/or leave things unclear.
    People using Airbnb to rent out a room still had to declare the income to revenue. If you didn’t then you were attempting to hide income. That is not disputable.
    It has been classed the same as a b&b and not rent a room. Revenue can and have decided this. There is no argument it just is.
    As for insurance, yes you should pay more and check it covers paying guests. You can laugh about theft all you like but accidents leave you liable. Blind guy falls out an open window and wins a case see what happens when you have no insurance coverage because you were using your house commercially.
    It is also unfair on b&bs who have more expenses and have to adhere to standards.

    47
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    Mute stef
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    Aug 11th 2015, 6:33 PM

    in the case that I host a student for 3 weeks and he is the one that fall out from an open window? will things be different?I understand what you say, but I don’t understand why hosting a student or a person looking for a job/new house would be different than hosting for a week some tourists.
    I will not host anymore with Airbnb, I will host to “resident”people and I will increase the rent because since Revenue can change their mind I want to make sure I will have enough money to pay taxes.

    7
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    Mute Boo!-Fight the Board
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    Aug 11th 2015, 11:55 PM

    Not to mention…bye bye capital gains exemption when you sell your home. More lovely tax for us. The Air BnB folks are gling to contribute hugely to the country and our services and homeless. Cheers!!

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    Mute Dr-Nicovic
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    Aug 12th 2015, 12:52 AM

    That is incorrect actually. PPR relief does not extend to “any part” of the dwelling which is let out and assessable under Schedule D Case V, i.e. rental income. So if you have used this service for the past 2 years and owned the house for 10 years then only a very small proportion will be liable to CGT. For 8 years it would have 100% been your PPR. For the last 2 years this would be adjusted to reflect the proportion that is no longer your PPR. I’d imagine the % that is your PPR would still be quite high if you are only renting a room out occasionally. You seem to be insinuating that you will lose the whole exemption for renting out a room on maybe only a couple of occasions. This is simply not true.

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    Mute Frank Barry
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    Aug 12th 2015, 8:32 PM

    That is the legislation. Perhaps you should have read it!

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    Mute Anne Marie Devlin
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    Aug 11th 2015, 9:00 AM

    When I look at airbnb, there’s a lot of complete apartments for rent. So doubt it’s just a person looking for the odd bit of extra money by occasionally renting out a room. Big business for many and much more lucrative than long term rental.

    310
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    Mute Sgt Pepper
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    Aug 11th 2015, 11:45 AM

    Lots of tenants won’t have told their landlords they’re doing this Airbnb thing on the side. I’d expect some leases to be terminated as a result of this.

    155
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    Mute Karen McCarthy
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    Aug 11th 2015, 12:11 PM

    It is a mix, that is for sure, but that is why it is unfair to tarnish everyone with the same brush. There are many hosts, myself included who host within the house they own. I have a spare room and I use it to help pay my bills, which I am allowed to do up to 12k tax free. This is what has people so upset, people who were consciously staying under the 12k a year to be tax free and comply with the rent a room scheme are now being told that they were not covered. Even though revenue staff have previously told us that we are covered. If a host earns over 12k a year, they should pay tax on that, and if someone has multiple apartments then it is a business and they should pay tax accordingly. It is unfair to see us all as tax evaders who finally got what they deserved. Not only am I earning well within the annual 12k rent a room relief, but I have also brought business in to the country. Most of my guests are tourists who can’t afford to stay in hotels, and had Air BnB not been an option, wouldn’t have come. I then send these tourists to local and Irish businesses. What am I doing that is so wrong?

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    Mute stef
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    Aug 11th 2015, 12:17 PM

    you can refine your search and look just for rooms. I used to rent my spare double room on Airbnb for 30 Euro a night and it helped me to pay bills and mortgage. I am not going to use anymore Airbnb but I will rent to students since when you hosting students you don’t have to pay taxes if the income from the rent is under 12000E. I really doubt you will find host renting affordable places on Airbnb in the next future. I had many happy guests that could come on holiday in Ireland without spending all their wages.

    74
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    Mute Patlyndo
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    Aug 11th 2015, 12:22 PM

    Big difference between long term and short term rentals Karen – answer me this – why should you be treated any different to any B&B around the country and not have to be regulated and not pay tax?

    “Only” 12k a year – or 230 euro a week into your household – tax free on top of whatever earning you make in your job .

    By the ask the small family run B&B’s around the country what business you brought to the country.

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    Mute Patlyndo
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    Aug 11th 2015, 12:28 PM

    Stef, I believe that this is why the scheme was first introduced, to help students find accommodation,

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    Mute Sandra
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    Aug 11th 2015, 12:47 PM

    Because it’s not a b&b. Genuine airbnb hosts are renting out a room a couple of nights a week through airbnb’s website. They are generally ordinary home owners renting out their spare room on a short term basis. They don’t claim expenses and guests don’t expect the same services they would expect at a B&B or hotel and pay less as a result. No body is saying they ‘only’ make 12 grand so leave them be, they are arguing that they should be treated the same as the person who hosts students or rents out a room to a lodger for 6 months etc a year. Some people just prefer airbnb because the don’t have to commit to having someone live with them permanently in order to help with mortgage payments, bills etc. They also enjoy meeting interesting people from all over the world and showing them around Ireland. What is so terrible about that?

    76
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    Mute stef
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    Aug 11th 2015, 12:58 PM

    We are not B&B because hosts share their kitchen, their toilets and their private spaces with guests, it is the same situation as when we hosting students. Do owner of B&B have guests that cook in their kitchen all the time? But anyway, I am not going to share my toilet with strangers if then I need to pay so many taxes. No way. I understand this was a grey area, but they should have make things clear from the beginning. I was told 2 years ago in a meeting at Airbnb from a tax office adviser that we were covered under the rent a room scheme. Why did he give us the wrong information?

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    Mute Patlyndo
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    Aug 11th 2015, 1:03 PM

    “Because it’s not a b&b. Genuine airbnb hosts are renting out a room a couple of nights a week through airbnb’s website. ”

    You are advertising your room on a “bed and breakfast” – you are offering bed and breakfast – you are a B&B.

    “They are generally ordinary home owners renting out their spare room on a short term basis. They don’t claim expenses and guests don’t expect the same services they would expect at a B&B or hotel and pay less as a result. ”

    They are generally home owners using their homes to earn extra income from a business. They can now claim those expenses to the revenue. They are looking for a bed and breakfast and they get a bed and breakfast.

    “No body is saying they ‘only’ make 12 grand so leave them be, they are arguing that they should be treated the same as the person who hosts students or rents out a room to a lodger for 6 months etc a year. ”

    Because on person is using your home for “residential” purposes and the other is using it like a B&B.

    “Some people just prefer airbnb because the don’t have to commit to having someone live with them permanently in order to help with mortgage payments, bills etc. They also enjoy meeting interesting people from all over the world and showing them around Ireland. What is so terrible about that?”

    Yes but to avail of the tax free status this is exactly what you HAVE to do, you have to rent out your room to a private individual for residential purpose long term – if you don’t like it, don’t do it, but if you advertise your home for guest accommodation and earn money from that – then you must, like a hotel, like a B&B – pay tax.

    66
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    Mute Karen McCarthy
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    Aug 11th 2015, 1:11 PM

    It is not the same thing as a B&B. Most hosts DON’T offer breakfast. You don’t have to. You have one guest stay at a time, hardly a bed and breakfast! I have had Irish people come to stay with me one night a week because they work in Dublin one night a week and don’t want to commute from Limerick or Cork. What do you call that?
    A homeowner has the right to choose who they live with, so why is it anyones concern who I live with? I pay taxes. I earn the same as I would renting out a room full time. I just choose to do it in a different way, that suits my life and at the same time brings in business and money to the local area. All we are asking is to be treated the same as every other home owner who rents out a room.

    56
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    Mute stef
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    Aug 11th 2015, 1:18 PM

    I don’t think you have a clue about how Airbnb works. I do not offer breakfast and many other hosts don’t. But did you look at the website? it doesn’t seem to me. And anyway, I don’t host students for more than 3 weeks. Nobody live in my place for months.

    31
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    Mute Patlyndo
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    Aug 11th 2015, 1:26 PM

    Karen,

    “I have had Irish people come to stay with me one night a week because they work in Dublin one night a week and don’t want to commute from Limerick or Cork. What do you call that?”

    Being a nice friend – unless of course you charged them 50 euro.

    “It is not the same thing as a B&B. Most hosts DON’T offer breakfast. You don’t have to. You have one guest stay at a time, hardly a bed and breakfast!”

    So what Karen, if you bloody did offer it then you would charge extra for it. Most actually do by the way – not a fry but rolls, coffee and fruit – aka food in the morning aka breakfast.

    “A homeowner has the right to choose who they live with, so why is it anyones concern who I live with?”

    Eh you are not living with your guests Karen, you are their host.

    “I just choose to do it in a different way, that suits my life and at the same time brings in business and money to the local area. All we are asking is to be treated the same as every other home owner who rents out a room.”

    Yes, you choose the tax free way – except it isn’t tax free. It is absolutely irrelevant what it brings to your area – it brings you in EARNED INCOME and on that you must pay tax.

    Every other owner who rents out a room does it long term, rents to private individuals for residential purposes, they live with these people, they are not liable for tax because they are complaining with the rules and furthermore they submit it to the tax office (or should ).

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    Mute Patlyndo
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    Aug 11th 2015, 1:28 PM

    No Stef, I don’t think you have a clue how the rent a room scheme works and how the revenue works.

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    Mute stef
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    Aug 11th 2015, 1:44 PM

    so can you tell me for how long a student can live in my place for my income to be under the rent a room scheme?

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    Mute Karen McCarthy
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    Aug 11th 2015, 1:52 PM

    Because I am not a B&B Pat. I rent out my private spare bedroom to a select number of people over the course of a year. I do not earn 12k, I mentioned 12k because this is what home owners are allowed to earn a year tax free according to revenue, on top of their salary. And the small family run B&B’s around the country are also listed on Air bnb, look it up. No one is trying to monopolize the industry (except the hotels). This issue is that you and other people seem to want to be involved in my decision process of who lives with me in my private home. If there was no rent a room relief scheme in Ireland, I would pay tax and expect anyone renting out a room to do the same. If I had multiple listings on Air BnB then I would quit my job and register as self employed. The problem here is there are different hosts, those who should be registered as a business and those who should be covered under the rent a room relief.
    What is the definition of long term/short term rentals Pat?
    I have had Irish guests who live in Limerick and cannot find full time work in Limerick where their family live, so they stay with me one night a week to work a part time job in Dublin. What is that under?
    I have had people stay with me for one month-two months while they looked for more suitable accommodation. What is that Pat?
    This is not a black and white issue and therefore the solution should not be black and white.

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    Mute Patlyndo
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    Aug 11th 2015, 1:58 PM

    Stef, it is the purpose you rent the room to students it is or “residential” purpose, a place where they live while going to college.

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    Aug 11th 2015, 2:01 PM

    Again, it is the reason that people stay Karen.

    “I have had Irish guests who live in Limerick and cannot find full time work in Limerick where their family live, so they stay with me one night a week to work a part time job in Dublin. What is that under?
    I have had people stay with me for one month-two months while they looked for more suitable accommodation. What is that Pat?”

    Do you charge them? Are they staying in your home and using it as a residence?

    You seem unable to differentiate between a paying guest at your home for tourism reasons and a guest at your home for residential reasons. Nothing more I can help you with to explain the difference.

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    Aug 11th 2015, 2:06 PM

    You don’t understand Air BnB.
    ‘Being a nice friend – unless of course you charged them 50 euro’. Of course I charge them. You misunderstood the point. If someone stays with you one night a week, is that not long term?

    ‘So what Karen, if you bloody did offer it then you would charge extra for it. Most actually do by the way – not a fry but rolls, coffee and fruit – aka food in the morning aka breakfast’
    No I wouldn’t. How many times have you stayed in an Air bnb? I have stayed in several, in Ireland and abroad and not had breakfast. I know hosts that offer breakfast and don’t charge. It is up to the host, it is a different concept than a B&B, that is what you are missing.

    ‘Eh you are not living with your guests Karen, you are their host’
    How do you know what I do? Of course I am living with them! I wake up in the morning and share the hot water in the house with them, I share the kitchen with them, when I come home in the evening I share the living room with them. How is that not living with them!?

    ‘Yes, you choose the tax free way – except it isn’t tax free. It is absolutely irrelevant what it brings to your area – it brings you in EARNED INCOME and on that you must pay tax’
    I chose the rent a room relief way, which is tax free up to 12k a year. I do pay tax, like anyone else in this country. It brings me in EARNED RENT on which I must pay tax if it exceeds 12k

    ‘Every other owner who rents out a room does it long term, rents to private individuals for residential purposes, they live with these people, they are not liable for tax because they are complaining with the rules and furthermore they submit it to the tax office (or should )’
    Again, define long term, this is not black and white. I live with these people, I should have the same tax breaks.

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    Aug 11th 2015, 2:11 PM

    Not asking for your help, but thanks for the patronizing comments.
    I was trying to explain exactly that to you, this difference between residential and tourism. Air BnB is not solely tourism. Again, this is not black and white. That is the point.

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    Aug 11th 2015, 2:31 PM

    “You don’t understand Air BnB.”

    “How it Works
    A Community Built on Sharing

    Airbnb began in 2008 when two designers who had space to share hosted three travellers looking for a place to stay. Now, millions of hosts and travellers choose to create a free Airbnb account so they can list their space and book unique accommodation anywhere in the world”

    From revenue:
    “Sums arising to an individual in respect of the letting, for residential purposes, of a
    room or rooms in his/her home, including, for example, sums arising from lettings to
    students for an academic year, and the provision of meals or other services supplied in
    connection with the letting, may be exempt from income tax where they are below the
    annual limit for the tax year in question (see Paragraph 5). These sums would
    usually be taxable under Case IV or Case V of Schedule D1
    . This relief, known as
    rent-a-room relief, was introduced with the aim of increasing the availability of rented
    residential accommodation.”

    “4.3 Business use/guest accommodation
    The room or rooms must be used for the purposes of residential accommodation, i.e.
    the occupants are effectively using the room on a long-term basis, either on its own or
    in conjunction with other parts of the residence, as a home. The relief does not apply
    to rooms that are used for business purposes.
    Income from the provision of accommodation to occasional visitors for short periods,
    including, for example, where the accommodation is provided through online
    accommodation booking sites, does not qualify for relief as the visitors use the
    accommodation as guest accommodation rather than for residential purposes. Income
    from guest accommodation such as a bed and breakfast or a guesthouse operation is
    generally treated as trading income (Case 1) and not rental income (Case V). This
    type of income, even where it is under the relevant limit, does not qualify for rent-aroom
    relief.”

    B&B’s are not exempt from this tax, even though they may advertise on Airbnb.

    “You misunderstood the point. If someone stays with you one night a week, is that not long term?”

    Not in my view no. That would come under “occasional” visitor, you’d have to clarify that with revenue.

    “Not asking for your help, but thanks for the patronizing comments.
    I was trying to explain exactly that to you, this difference between residential and tourism. Air BnB is not solely tourism. Again, this is not black and white. That is the point.”

    I wasn’t offering but you’re welcome.

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    Aug 11th 2015, 2:40 PM

    you didn’t replied to my question:
    can you tell me for how long a student can live in my place for my income to be under the rent a room scheme?
    I have students that come here only for 3 weeks attending an English course,
    I have also had guests that came to my place for a few days/weeks because they were looking for a job/ new house. Some didn’t find or change their mind and they left Ireland
    is the rent a room scheme only for hosting students?in this case for how long they can be at my place and do the students need to bring me a proof of the school that they are attending. I guess so.
    I have relatives or relatives’ friend or friends of friends that are coming to my place while on holiday. what about them?should I host them for free?
    what about listing in daft?or in gumtree?or just advertising my room in the local supermarket board??

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    Mute Karen McCarthy
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    Aug 11th 2015, 2:42 PM

    Great job copy and pasting.
    I’ll have a go too!
    Rent-A-Room Relief: EY Summary of Technical Position:
    Section 216A of the Taxes Consolidation Act 1997 (“TCA 97”) sets out the conditions for availing of rent-a-room relief from income tax for ‘relevant sums’ of up to €12,000 per annum. The definition of ‘relevant sums’ limits relief to sums received from rooms rented out for the purposes of ‘residential accommodation’.

    As the term ‘residential accommodation’ is not defined in TCA 97, it should take its ordinary meaning. Dictionary1 definitions of ‘residential’ and ‘accommodation’ do not refer (either explicitly or implicitly) to a minimum period of occupation for accommodation to come within the parameters of being ‘residential’.

    In the judgement in the case of Owen v Elliott (H M Inspector of Taxes)2, it was stated that “the expression ‘residential accommodation’ does not directly or by association mean premises likely to be occupied as a home. It means living accommodation, by contrast, for example, with office accommodation. I regard as wholly artificial attempts to distinguish between a letting by the owner and a letting to the occupant; and between letting to a lodger and letting to a guest in a board house; and between a letting that is likely to be used by the occupant as his home and one that is not.” Leggatt L.J. further stated that “…it is accepted on behalf of the Crown that the length of the letting is not to be determinative”.

    You did say ‘Nothing more I can help you with’.

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    Aug 11th 2015, 2:48 PM

    the main thing that is missing here is for how long the host can rent their room to students and still be under the rent a room scheme. It shouldn’t really matter if he is a student or not. Revenue should say that it should be minimum 1 month or 3 months….then it doesn’t really matter if we are talking about a student or somebody that come to Ireland because just want to relax and doing nothing

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    Mute Patlyndo
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    Aug 11th 2015, 3:43 PM

    Karen, that is where the information is.
    “Great job copy and pasting.”

    Thanks.

    “Rent-A-Room Relief: EY Summary of Technical Position:
    Section 216A of the Taxes Consolidation Act 1997 (“TCA 97”) sets out the conditions for availing of rent-a-room relief from income tax for ‘relevant sums’ of up to €12,000 per annum. The definition of ‘relevant sums’ limits relief to sums received from rooms rented out for the purposes of ‘residential accommodation’.
    As the term ‘residential accommodation’ is not defined in TCA 97, it should take its ordinary meaning. Dictionary1 definitions of ‘residential’ and ‘accommodation’ do not refer (either explicitly or implicitly) to a minimum period of occupation for accommodation to come within the parameters of being ‘residential’.”

    And this has been clarified here by the revenue:

    “Amendments to the long-standing Rent-a Room relief clarify that short term lets to guests, “including where such accommodation is provided through online accommodation booking sites”, do not fall within the terms of the relief.”

    The grey area has now been clarified.

    “In the judgement in the case of Owen v Elliott (H M Inspector of Taxes)2, it was stated that “the expression ‘residential accommodation’ does not directly or by association mean premises likely to be occupied as a home. It means living accommodation, by contrast, for example, with office accommodation. I regard as wholly artificial attempts to distinguish between a letting by the owner and a letting to the occupant; and between letting to a lodger and letting to a guest in a board house; and between a letting that is likely to be used by the occupant as his home and one that is not.” Leggatt L.J. further stated that “…it is accepted on behalf of the Crown that the length of the letting is not to be determinative”.”

    Karen – again – it is NOT the length – it is the reason for the stay, it is why people are staying with you.

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    Aug 11th 2015, 3:47 PM

    “you didn’t replied to my question:
    can you tell me for how long a student can live in my place for my income to be under the rent a room scheme?”

    I did – several times and you see – you are answering your own question by asking – “how long he will live with you”. If he is “living” with you then you are renting the room for residential purposes.

    “I have students that come here only for 3 weeks attending an English course,”

    Occasional visitors I would say – not sure though why you won’t contact the revenue instead of asking a stranger on-line.

    “I have relatives or relatives’ friend or friends of friends that are coming to my place while on holiday. what about them?should I host them for free?”

    Sigh, “holiday” is not residential.

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    Mute Rashers Tierney
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    Aug 11th 2015, 4:17 PM

    Karen, poor choice. English cases can be ‘persuasive’, but are not binding in this jurisdiction.

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    Mute Benton Oswald
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    Aug 11th 2015, 4:27 PM

    What a convoluted exchange!

    It’s income. You pay tax and you can deduct expenses.
    Students = €12000 relief.

    Clear as crystal.
    What isn’t clear is insurance. The most efficient department of the Civil Service is about to descend on one of the most clearly documented websites in the world. If anyone thought they wouldn’t then they are naïve at best.
    However why not find a dedicated insurance company offering clear standard packages for effective 3rd party liability? There isn’t one.

    That’s where we are at the moment. The Revenue will kill AIRBNB stone dead. It’s like the broadcasting charge no one is talking about before the next election. They will tax you on something that they offer nothing in return for. If they made RTE a “pay to watch” service then that would be fair.

    So suck it up. Pay your tax and live in this country. Your only effective weapon is the next election, that is if you can find someone to vote for who isn’t a complete numpty.

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    Mute Trish Prendiville
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    Aug 11th 2015, 4:38 PM

    To my understanding Patlyndo, its a case of “substance over form”; would you agree?

    http://accounting-simplified.com/financial/concepts-and-principles/substance-over-form.html

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    Aug 11th 2015, 6:18 PM

    “I have students that come here only for 3 weeks attending an English course,”

    Occasional visitors I would say – not sure though why you won’t contact the revenue instead of asking a stranger on-line.

    occasional visitors you would say? do you mean something between short term and long term guests?
    why should I contact the revenue when there is an expert like you that are giving all day advise on how to deal with the rent a room scheme

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    Mute Kal Ipers
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    Aug 11th 2015, 6:48 PM

    @stef
    I will simplify it for you the revenue tell you and that is how it is. They have declared that Airbnb is the same as a b&b. That is it, no discussion or wiggle room.
    As for summer students revenue have always said you should declare the income.
    You were always meant to be declaring your income from Airbnb even if you believed it was rent a room because that is what was required. Like all tax breaks you have to submit paper work. If you weren’t you were not innocently in the belief you did rent a room.
    If you can’t tell the difference between a temporary guest ( even a regular repeat guest) and a lodger you should not do it but I am sure you can and are just trying to make it sound difficult to define.

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    Aug 11th 2015, 7:31 PM

    we are not talking about declaring incomes. I always declared my income and this year Revenue decided to declare Airbnb as a B&B. what about the income that I have already declared? I have already declared my last year income a couple of months ago and sent the form.
    I don’t understand if the income that I will receive for short terms student will be taxes or not. I live close to school, university and laboratories and there are many students coming here for short time only for attending the courses. why don’t you answer this question instead to discuss about me not declaring my income?

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    Aug 11th 2015, 8:21 PM

    In my opinion all the income from the rent should be taxed, there should be no difference.

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    Aug 11th 2015, 8:38 PM

    Patlyndo, you’re clearly completely ignorant as to the workings of AirBnB in honesty so I’m amazed that people have given your posts the attention you crave as long as they have.
    That said, they have so let’s address the facts.
    You can sit behind your keyboard and argue the moral ambiguities of the system as much as you like. the fact is though, it’s legal. People can earn up to 12k in additional income by renting out a room without paying tax. That can be a room to a boyfriend, a room to family member staying over, a stranger on the internet looking for a roof over their head for the night or a cow from a local farm for all it matters. It’s still legal to pay no tax until the 12k threshold is reached.
    Anything you say after that is irrelevant.
    You may disagree with this law, you may want it changed. But that is how the law saw it at the time these people were using AirBnb. If you want it changed then I think you’ll need to pursue it in a slightly different forum to this one.
    Now, for everyone’s sake, stop trying to beat everyone into submission and think you’ve one by always having the last word on the subject.

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    Aug 11th 2015, 8:57 PM

    Stef, I am not an expert, nor am I offering you advice – I am merely trying to explain to you that revenue have clarified a situation that was once vague. You are clearly unhappy with the decision made by revenue yet are attacking me instead of directing your anger at the relevant people.

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    Aug 11th 2015, 9:03 PM

    “Patlyndo, you’re clearly completely ignorant as to the workings of AirBnB in honesty so I’m amazed that people have given your posts the attention you crave as long as they have.”

    Lol. This sentence exposes your ignorance, because this is about the revenue – not Airbnb.

    “You can sit behind your keyboard and argue the moral ambiguities of the system as much as you like. the fact is though, it’s legal.”

    You mean like you are sitting behind your keyboard attacking me?

    It isn’t a moral issue, it’s a legal one.

    “People can earn up to 12k in additional income by renting out a room without paying tax. That can be a room to a boyfriend, a room to family member staying over, a stranger on the internet looking for a roof over their head for the night or a cow from a local farm for all it matters. ”

    No, you see that is what was clarified by the revenue. You can rent a room for residential purpose without being liable for tax up to 12k.

    Revenue have decided that if you rent to a stranger for a night – that this income (profit rather) is subject to tax.

    ” It’s still legal to pay no tax until the 12k threshold is reached.”

    Not according to revenue. I have already posted the clarification.

    “You may disagree with this law, you may want it changed. But that is how the law saw it at the time these people were using AirBnb. If you want it changed then I think you’ll need to pursue it in a slightly different forum to this one.”

    And now revenue sees it differently and has said so. Personally I don’t care either way – it’s doesn’t affect me.

    “Now, for everyone’s sake, stop trying to beat everyone into submission and think you’ve one by always having the last word on the subject.”

    I think you meant that I think I have won – this isn’t about me, it’s about revenue clarifying a grey area, which they did today and if you don’t want to engage in the discussion then all you have to do, from behind your keyboard – is not click on the link and not read my post.

    Ok? Cheers.

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    Mute offensive lover
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    Aug 11th 2015, 10:22 PM

    I’d love to have the time to go through your post with a fine toothcombe but frankly I have neither the energy nor desire.
    You’ve made about 400 posts today whereas I have made 1 on this topic. I think you win the keyboard warrior battle.
    It blatantly is about the moral side of this just as much as the revenue. And you appear to be taking great satisfaction in other people’s misfortune. At the time of the incidents these people were operating under a set of rules legally. If those rules are changed then so be it but to chase people for the cash that they would have been liable for prior to the new rules is just wrong.
    How would you like it if your mortgage company doubled your interest rate and backdated it 12 months and begun chasing you for the outstanding money? You would soon change your tune.

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    Aug 12th 2015, 12:07 AM

    I am happy to pay taxes renting out a room on Airbnb, but every landlord that rent a room in his own house should be pay their taxes and I hope Revenue finally will not make any difference between short, medium or long stay. it doesn’t matter if the room is advertised in airbnb or gumtree. It is always an income and it should be taxed, I completely agree. At the end of the day, landlord will raise the rent in order to afford taxes. I feel sorry for people that will have to pay higher rent for a room in the city, rent are already very expensive, but well, that’s life.

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    Mute Anthony Whelan
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    Aug 12th 2015, 10:18 AM

    I think you may give up on explaining this to Karen beats me how she even had the intelligence to rent a room in the first place

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    Aug 12th 2015, 10:40 AM

    What an insulting thing to say!
    Someone has a different opinion to yourself? Ah yes, question their intelligence, belittle them and be insulting towards them.
    That’s how you’d do it in real life I imagine.

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    Mute Karen McCarthy
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    Aug 12th 2015, 12:28 PM

    Yeah, personally attack me, someone you have never met. Bravo.

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    Mute Richard O'Callaghan
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    Aug 14th 2015, 12:24 AM

    @Stef. You should get proper tax advice. If you have been doing Airbnb for a number of years then you may have a significant liability. At this stage you need to make a voluntary declaration to Revenue to minimise any interest and penalties. If you wait and Revenue come to you first then you are likely to incur significantly higher interest and penalties. Not to mention the possibility of your details being published by the Revenue Commissioners.

    The same goes for all Airbnb hosts. If there are enough of you Revenue will undertake a project on the area, and it will be like shooting fish in a barrel for them.

    Good luck with it.

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    Mute David McShite
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    Aug 11th 2015, 8:48 AM

    No escaping revenue these days, unless of coarse you drive a taxi.

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    Mute Franco
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    Aug 11th 2015, 9:49 AM

    dont forget your boss D.O.B !

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    Mute Shane Freeney
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    Aug 11th 2015, 9:54 AM

    David Mc over 50% income on most taxis is on credit card. NCT and SGS takes note of milage ! Any driver not paying tax will be cough .

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    Mute Paul Roche
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    Aug 11th 2015, 10:29 AM

    Or “live” in Malta…

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    Mute Chris D
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    Aug 11th 2015, 2:28 PM

    or Starbucks.

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    Mute Sandra
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    Aug 11th 2015, 10:00 AM

    The portrayal of all people using airbnb as tax dogers and that they are now getting their comeuppance is unfair. Airbnb is an innovative part of the new sharing economy and in general is aimed at people who want a more personal and (lets face it) more economical experience when they travel. Many hosts that are renting out a room in their own home to airbnb guests genuinely believed that they could do so under the rent a room scheme because why shouldn’t they be able to? If it’s a room in your house and you’re not earning over the 12 grand threshold, what difference does it make to revenue whether the person is using the room for a week or 6 months? I completely agree that people who are renting out entire properties or multiple properties and not declaring the income should be penalised if they are not paying tax but why should an airbnb host pay more tax than their neighbour who has students coming and going every other week (exempt from tax) or a lodger for 6-8 months because they choose to use airbnb? My choice of tenant shouldn’t be an issue for revenue; they should only be concerned with the amount of money I earn from that tenant and whether I am renting out a room in my own house as per the scheme. On another note, Airbnb can bring a boost to the local economy; when people use airbnb they tend to stay in places where tourists don’t normally find themselves and hosts recommend local pubs, restaurants, cafes etc which can only be good for the economy. People who are abusing the tax system by using airbnb to dodge tax should be penalised but revenue should be discerning when it comes to someone with say, 3 properties rented out fully that they don’t live in and someone who rents out a room in their house for 40 or 50 quid a night a couple of nights a month and is under the threshold.

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    Mute Karen McCarthy
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    Aug 11th 2015, 12:12 PM

    Well said!

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    Mute Richard O'Callaghan
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    Aug 14th 2015, 12:31 AM

    Because Airbnb was no more covered by the rent a room scheme than Youth Hostels. A very specific area of rental income was exempt from tax, nothing else. The fact that Airbnb is innovative does not exempt you from tax any more than generating income from EBay did.

    You need to regularise your position with Revenue ASAP to avoid increasing your interest and penalties.

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    Mute stopit
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    Aug 11th 2015, 9:01 AM

    I’d like to know how many properties are kept out of the rental market because AirBnB is more lucrative and what the impact this is having on our “housing crisis”

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    Mute Patlyndo
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    Aug 11th 2015, 12:24 PM

    Very good point stopit. I wonder how many hosts have turfed out long term tenants to this this.

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    Aug 11th 2015, 12:35 PM

    I own the place where I live and I am not going to rent my spare room and take a flatmate! I am too old, in my place guests can only stay short term. It is my house and I set up the rules. There is a huge difference between landlord that rent the whole place and landlord that rent only their spare room. Airbnb was born to give hospitality in places where the host was living. Now it is a big business and as usual now guests that want to find a affordable accommodation for their travel they will not able to do so because the host that used to offer their room on Airbnb they will remove their listing

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    Aug 11th 2015, 1:09 PM

    Stef, you need to talk to Airbnb if they gave you that advice, but to be honest, the information regarding the rent a room scheme states:

    “If you rent out a room (or rooms) in your home to private tenants, the rental income you earn will be exempt from income tax, provided this income does not exceed a certain limit in a tax year. This is called the rent-a-room relief.”

    Hopefully when hosts do remove their listings they will set the rooms out to students, who were supposed to benefit from the scheme in the first place.

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    Aug 11th 2015, 1:30 PM

    yes I will rent to private individuals as you suggested…

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    Mute GunsGerms
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    Aug 12th 2015, 8:16 AM

    Only a select group of hosts live in areas that are suitable or desirable for students so limiting the rent a room for students is an example of policy makers cutting off their nose to soite their face. Airbnb hosts make very little money as it is usually to supplement low income etc. Yet Airbnb hosts have actively contributed to attracting large numbers of visitors to Ireland each year. S

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    Mute Paul Mott
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    Aug 11th 2015, 9:03 AM

    Goodbye Airbnb

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    Mute Gavin Scott
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    Aug 11th 2015, 11:02 AM

    Yep. “Can we do a deal outside of air B and B?” Cool. “My email is blahblah@gmail.com

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    Mute John Campbell
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    Aug 11th 2015, 9:23 AM

    News just in ! Revenue Commissioners are trawling all Saving Accounts in Post Offices and Banks held in children’s names. The purpose being to pursue the parents for possible income tax liabilities for children under 18 who may have received financial gifts of between €5 and €10 from doting grand parents. They are also looking into the possibility of benefit-in-kind taxation on toys received by them.
    Meanwhile, also in Revenue Headquarters a new Investigation Unit has been set up to pursue older people whose grass has been cut by kindly neighbours to ascertain if this could be subject to benefit in kind liabilities. If deemed to be so it may mean the withdrawal of benefits such as free medical cards and possibly free travel.

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    Mute Michéal O'Braoin
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    Aug 11th 2015, 9:39 AM

    “news just in”… You would give Sky/Fox news a run for their money with your sensationalist Bulls**t.

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    Mute John Campbell
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    Aug 11th 2015, 10:24 AM

    Oh poor Micheal O Braoin ! Did you ever hear of ‘tongue and cheek? Stop inhaling the Bulls..t and you’d know I was engaging in a little humour!

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    Mute Who's Yer Man
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    Aug 11th 2015, 10:34 AM

    @Michéal I’d imagine John was being sarcastic. Jaysus people, lighten up.

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    Mute Michéal O'Braoin
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    Aug 11th 2015, 10:48 AM

    Ah here… You can’t go using the satire defence every time you say something outlandish… Sometimes you can never tell on this site if people are for real I suppose

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    Mute Gary Keegan
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    Aug 11th 2015, 8:55 AM

    Surely what Revenue could net focusing on big business is far more profitable than going after someone that may has made an extra couple of K in a year?

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    Mute Reg
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    Aug 11th 2015, 9:13 AM

    AirBnB is big business to some.

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    Mute Chuck Eastwood
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    Aug 11th 2015, 9:15 AM

    You might not realise how big this is for some people who have multiple properties are are doing everything in their power to avoid paying tax. its not really aimed at the average job. As always we are just collateral damage

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    Mute cholly appleseed
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    Aug 11th 2015, 9:26 AM

    as long as its their primary residenxe which airbnb is designed, regardless if a room was advertised on airbnb or daft, the rent a room scheme of tax free 12k income would apply to someone renting out their apt for a few weekends a yr or someone renting a room on it. this will only effect bigger tax dodgers

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    Mute Reg
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    Aug 11th 2015, 9:49 AM

    The 12k tax exemption does not apply to short term rentals. This was clarified by revenue some time ago.

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    Mute Ían
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    Aug 11th 2015, 12:33 PM

    Show me where the legislation states this difference?

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    Mute John Moylan
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    Aug 11th 2015, 12:36 PM

    …define short then ?
    A day, a week, a month, a quarter ?
    And whichever you pick, there’s a workaround ……..

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    Mute Ían
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    Aug 12th 2015, 11:01 AM

    So no one can show where the legislation makes the distinction between the different types of rental?

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    Mute Infidel
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    Aug 11th 2015, 8:51 AM

    I’m surprised it took this long.

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    Mute The Dublin Cynic
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    Aug 11th 2015, 9:00 AM

    All the escort pimps arriving down to their office should be a laugh

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    Mute Sarah O'Sullivan
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    Aug 11th 2015, 9:25 AM

    aren’t owner occupiers allowed to rent out rooms in their house tax free up to a certain limit?

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    Mute Linda Whelan
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    Aug 11th 2015, 9:40 AM

    Yes they are. But you have to declare it in your income tax return.

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    Mute Shane Freeney
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    Aug 11th 2015, 9:55 AM

    You are but not B&B that is taxable

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    Mute cooperguy
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    Aug 11th 2015, 11:19 AM

    only long term rental, not holiday rental

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    Mute Linda Whelan
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    Aug 11th 2015, 3:17 PM

    aparently it’s a grey area and the legislation will more than likely be challenged.. so I heard on the radio today. . so it must be true!!

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    Mute Very fond of
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    Aug 11th 2015, 8:45 AM

    More letters from Michael Gladney

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    Mute Jenny
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    Aug 11th 2015, 10:45 AM

    The tax man’s taken all my dough,
    And left me in my stately home,
    Lazing on a sunny afternoon.
    And I can’t sail my yacht,
    He’s taken everything I’ve got,
    All I’ve got’s this sunny afternoon.

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    Mute the phantom
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    Aug 11th 2015, 11:44 AM

    Some people seem to have it in for airbnb hosts. Ignoring big landlords for a second – who should be treated like any other business.
    People who rent rooms on a short term basis – let’s say spare room at a weekend are helping to keep hotels affordable for tourists and making more efficient use of a scarce resource. If someone is allowed to rent a room long term up to 12k tax free they should also be allowed to do so short term.
    I don’t host or even own my own place but if I bought a place I’d appreciate this option. It would certainly help take the sting out of mortgage repayments. Some people mentioned that expenses etc can be deducted from tax returns but this is too complex for many people dealing only with small amount of money. Having a simple system is far more efficient for the economy and encourages more people to participate. The 12k allowance should be expanded and it would alleviate a lot of worry

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    Mute Karen McCarthy
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    Aug 11th 2015, 12:17 PM

    Exactly! Thank you for your support!

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    Mute Richard O'Callaghan
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    Aug 14th 2015, 12:36 AM

    Phantom. Airbnb is a great idea, all anybody is saying is if you earn money on it you have to pay tax on it.

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    Mute Barry Walsh
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    Aug 11th 2015, 3:42 PM

    People should pay tax of income, it should not matter if you earn income as a bus driver, or rent out a room in your house.

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    Mute Michael cunnane
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    Aug 11th 2015, 10:13 AM

    how bout holiday homes for rent on done deal.how bout holiday homes on the classifieds in the newspapers.U can bet all these r tax free for the owners

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    Mute Cian O Donoghue
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    Aug 11th 2015, 7:58 PM

    Only if the owner is not declaring the income

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    Mute Billy Morton
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    Aug 11th 2015, 11:48 AM

    I rented on Airbnb, and I didn’t declare as I though that the 12k limit would apply. Called them this morning on advice from a friend who deals with Tax and declared it and I’m prepping my 12A form now.

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    Mute grumpyoldtroll
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    Aug 11th 2015, 9:52 AM

    hardly sensationalist, more satirical. relax.

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    Mute Ian Scott
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    Aug 11th 2015, 9:56 AM

    agreed… some people on here

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    Mute Alan Hanlon
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    Aug 11th 2015, 7:30 PM

    no sympathy really, every other business must pay tax on earnings. Also with them looking for the tax payable to be capped is laughable, I’m sure the local hotels and guest houses would like their tax compliance to be capped aswell.

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    Mute GunsGerms
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    Aug 11th 2015, 10:37 PM

    Corporation tax is 12.5% in Ireland. Most Airbnb hosts will pay over 40% in tax on much smaller earnings.

    So comparing Airbnb hosts to companies is nonsence.

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    Mute Ían
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    Aug 11th 2015, 12:33 PM

    I don’t believe that the legislation backs up the Revenue’s statement

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    Mute Richard O'Callaghan
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    Aug 14th 2015, 12:38 AM

    Take them to appeal or to court then.

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    Mute Mary McDermott
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    Aug 11th 2015, 11:11 PM

    It’s simple. If u earn extra income outside of your normal paye or business it should be declared to Revenue. It is up to them then to decide if u pay tax on that income. It’s like having two jobs .

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    Mute GunsGerms
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    Aug 11th 2015, 11:45 PM

    No its not that simple when most Airbnb hosts were lead to believe they were eligable for a 12k room to rent tax exemption. Airbnb accomodation is very attractive to a certain demographic of tourist so it makes sense to incentivise such accomodation as it attracts to Ireland who are looking for a certain experience.

    Also the income being earned by hosts is so minimal that taxing it by the proposed amount will make it completely unworthwhile and effectively defunct in Ireland as an alternative form of accomodation.

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    Mute jack frost
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    Aug 11th 2015, 10:40 PM

    This was always on the cards. Fools if they thought the revenue would turn a blind eye to it.

    Also. I’m sure the b+b federation were not happy about being undercut by airbnb

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    Mute Caroline Otoole
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    Aug 11th 2015, 6:15 PM

    Bean an Ti?
    FAS digs?
    Student Digs?

    Can revenue explain the difference between airbnb and the situation above?

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    Mute Paul Wallace
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    Aug 12th 2015, 6:46 AM

    Airbnb will lose a lot of money from this, most people will not bother advertising if the tax man is going to take 40%. It’s not going to be worth the bother of advertising a room for say 50 euro to only get 60% of it.

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    Mute jerry slattery
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    Aug 12th 2015, 8:04 AM

    “My social welfare is under threat now too as my Airbnb money is considered taxable income and apparently it does not count under the rent-a-room scheme.”

    I just took the above from the the INDO and between that and the moaners who were on Morning Ireland my patience is wearing thin with AirBnb hosts

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    Mute Ían
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    Aug 12th 2015, 11:01 AM

    You do know that social welfare includes disability or people that have lost their jobs and are supplementing with a legal means

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    Mute Frank Barry
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    Aug 13th 2015, 12:07 AM

    Most of these people are talking absolute crap! If you engage in a commercial activity, such as providing a service of one kind or another, then you are creating revenue or income. Accommodation is such a service. Did these people think that it would be free of income tax? Well there are exemptions, but did they get expert advice? Airbnb are not to blame. They just provided a service to advertise your accommodation, charged you a fee as a business and I assume declared this to the Irish tax authorities, as you do. Now justify your case!

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    Mute Robbie O'Neill
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    Aug 11th 2015, 10:55 PM

    no one likes rats

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    Mute Liam O'Brien
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    Aug 12th 2015, 7:37 AM

    Death and taxes. No matter which way one cuts it, tax is due on Airbnb rentals. It’s a business. Pay up.

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    Mute stef
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    Aug 12th 2015, 10:13 AM

    Only rich tourists will be able to afford an holiday in Ireland. No more affordable rooms because landlords will increase the rates in order to afford taxes. Every year a new tax: property tax, water charge and now no more rent a room scheme for short term rent. But at the end of the day landlords will be fine, people that will need a room and don’t have a place to stay will pay up. It is a business.

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    Mute Frank Barry
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    Aug 13th 2015, 12:12 AM

    Hey Stef……….you talk a load of crap! Nothing has changed. There is nothing new! For those of you who make misinformed statements, it would be best to read the relevant legislation before doing so!

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    Mute Frank Barry
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    Aug 12th 2015, 7:56 PM

    Oh dear! Does this mean that the angry people are upset because they weren’t going to declare the income?

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    Mute Sternn
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    Aug 12th 2015, 1:37 PM

    So this government has decided to tax people who use AirBnB? Another astounding show of complete stupidity which will cost this country even more money. if they tax AirBnB hosts as they do people with rental property it will cost us much more than the government will take in.

    If you have rental property you can buy all new furniture, carpet, have it painted, buy new bed lines, etc. every few years. On top of this if you provide food you can write off food along with other things like toilet paper, soap, etc.

    That means if I sign up for AirBnB and have a single guest I then can fully kit out my spare bedroom and write off the entire cost as a tax deduction. I get €100 from the guest, the tax man takes a few euros, then at the end of the year I can knock all the costs of that room.

    The government gets about €20, I then get €10,000 back off the government at the end of the year.

    Apparently this government is not very good at maths.

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