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I rent my apartment (which I don't own) through Airbnb; Which type of property do I have: "Vacation or short-term" or "Other"?

I'm trying to figure out if I should state my "property" as "Vacation or short-term" or "Other". TurboTax keeps asking me about the property I own, when I don't own it. What should I do?
  • I need some clarification here. Is this property you are renting from someone else and you are sub-leasing? Or is this a TimeShare property that you do own for a specific period of time each year?
  • Thanks for chiming in, Carl! The "property" is my apartment that I live in and rent through a lease. The guests I host through Airbnb mostly stay on an extra bed (i.e. I'm still in the unit) and sometimes stay in the entire unit (i.e. when I'm on vacation).

    Are there any other questions I can answer or details I can add to help clarify the situation?

    Thanks again!
    Luke
  • hi luke, would love to know what you ended up doing. I have a similar situation, although I rent my complete apartment (which I also rent) when I am out of town. Originally, I listed this as a separate job (airbnb contractor) and then deducted it as a home office expense, but this seems strange. Let me know. Also, do your taxes get tied to your landlords (e.g. will he/she find out about your renting)?
You report the income as rental income. You may deduct the a proportional part  rent you pay and any other expenses, e.g. utilities. What you are NOT allowed to do, because it is your own home (you have "personal use") is claim a loss from this activity, to offset other income. Because of the "personal use rule", your deductions are limited to your income. Net effect ZERO.
  • Thank you both for the helpful information! Regarding my original inquiry, should I mark this property as "Vacation or short-term" or "Other" on my tax return? I'm not sure if this affects the taxes I'll pay, but I wanted to double-check first.

    Thanks again!
    Luke
I think I understand your situation now. As I interpret it, you are renting an apartment for which you pay rent to your landlord, and this apartment is your primary residence. Then you are sub-leasing to a tenant that pays rent to you. In that case, you will report the rent you receive as miscellaneous income and pay tax on it. I also "think" that you get no deductions since you don't own the property that your are subleasing that is your primary residence. Basically, the rent you pay is not deductible, and the rent you collect is taxable. Let me ask some others to look at this thread and confirm I am correct.
    Answer short term
    • I am in the same situation and have a question about schedule E.  TT asked me how many days did i own my property for?  I put down zero, since I don't own it but rent it myself (and then rent it to others when I am out of town), but then the TT review flagged it.  So I put down 365.  And now my schedule E shows that I had zero days of personal use of the property.  

      Please advise :)

      thanks!!
    • I'm having a similar issue (I rent an apartment from someone else and used AirBnB to list an extra room in the apartment). I have listed this as a short-term rental. For 2/3 of the year I lived in 26% of the apartment (one room and my proportional share of kitchen and bathroom) and rented out the rest of the apartment to someone else. For one third of the year I was not in the apartment (I subletted the whole thing to someone else).

      Here are my questions:
      1) Where do I list the rent I paid to the landlord for both tenants (should I put this under utilities)?
      2) It asks for what portion of the year the property was rented. It was empty some days (just me here) but was available all days. Can I put 100%?
      3) It asks what portion of the apartment I lived in. I don't know how to calculate this since sometimes it was 26% and sometimes it was 0%

      Thoughts?
    • Wondering this as well, specifically where do I report the rent I paid to the landlord?
    • And where are you entering this information? In property section?