Airbnb: three tax changes coming in 2024

Created by DALL E 3

A tax “revolution” awaits more than 100,000 Airbnb short-term rental property owners in 2024.

From January 1 of the new year, new rules providing for the collection of fees and VAT will come into force. Introduced new minimum expected income threshold. And those who hide real estate and secretly rent out properties will face draconian fines.

Who will the tax authorities hunt in 2024?

141,452 real estate properties owned by 102,422 individuals will be subject to transitional tax (τέλος παρεπιδημούντων) and environmental tax (περιβαλλοντικό τέλος).

At the same time, 7,500 taxpayers those who own three or more properties will be required to start a business by paying insurance premiums, business tax and VAT on the first property. Property owners will be taxed based on minimum estimated income applicable to self-employedrather than on the basis of a rent scale, as is done today.

In particular, the tax changes for short-term rentals from 1 January 2024 are as follows: a non-resident housing tax of 0.5% of local government income is levied through a special platform on all companies operating in this sector, regardless of the number of properties .

There is a “climate crisis resilience fee” of €1.5 per daily use and per room or apartment from March to October, while from November to February the fee is set at €0.50. If the properties available for short-term rental are single-family houses with an area of ​​more than eighty 80 sq.m. the fee increases to 10 euros. The cost of climate crisis resilience is borne by the resident who used the room or apartment. The amount is charged after guests enter the accommodation and before leaving it, with the issuance special check (έκδος στην κλιματική κρίση). A special receipt – confirmation of the payment for climate change resilience – is not subject to VAT. There is no charge for free accommodation services, whereas there is a charge for all short term rentals, i.e. in cases where the lessor owns one or two real estate properties.

7,440 individuals renting three or more real estate properties each, and a total of 30,329 real estate objects, are required to start a business activity. This means that they will become businesses and will pay the appropriate insurance premiums, property tax and VAT on the first property.

Fines
Penalties for failure to register in the Real Estate Register for short-term rentals are also being tightened. Property managers are subject to an annual independent administrative fine in the amount of 50% of the gross income of the tax year in which the violation was committed and cannot be less than 5,000 euros.

WITH moment of discovery of the violation The manager of a short-term rental property must take the necessary measures to ensure compliance with the requirements within 15 calendar days. When repeated failure to comply with statutory provisions within one year from the date of issuance of the act imposing a fine, the amount imposed is double the amount originally imposed.

When failure to submit or submit an inaccurate declaration of short-term residence, the property manager is subject to a fine equal to double the rent shown on the digital platform on the day of inspection. In case of delay in filing a declaration for short-term stays an independent administrative fine of 100 euros is imposed. There is no penalty if the income is derived from an overdue short-term residence declaration.

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