Fill out the form and one of our experienced CPAs will get back to you shortly.
This all depends on the number of services provided and the frequency of the interaction with Airbnb and the money will be taxed as either sole proprietorship on Schedule C of your income tax return or as partnership on Schedule E.
12+
Years Serving NYC
50
States Covered
5★
Rated on Yelp
150,000+
Returns Filed
Open
Evenings & Weekends
Section 01
Aspect | Schedule C | Schedule E |
|---|---|---|
Type of Activity | Active business operation | Passive rental activity |
Level of Involvement | High (daily management, services) | Low (basic rental management) |
Self-Employment Tax | Applicable | Not applicable |
Typical Services Provided | Cleaning, meals, concierge | Basic utilities, occasional repairs |
Section 02
Use Schedule C if:
Section 03
Use Schedule E if:
Section 04
Scenario | Example | Report On |
|---|---|---|
Occasional Host | Renting out a room a few weekends with no extra services. | |
Full-Time Host | Renting daily, offering meals and cleaning services. | |
Mixed Use | Offering short-term rentals with services seasonally. | Split (C & E) |
No cost to start
Fifteen minutes with a CPA who handles this every week. We will walk you through your options — no sales pitch, no obligation.
“George has prepared and maintained the corporate accounting and provided consultant services for my company for a number of years. He has always done an outstanding, professional and courteous job. I feel that his rates are very fair and he provides a great value for the cost.”
“Excellent service and very professional. George and his team have been handling my business taxes for years and I couldn't be happier with the results. They are always available to answer questions and provide expert advice.”
“I've been working with Dimov CPA for both personal and business taxes. Their attention to detail and knowledge of tax law has saved me thousands. Highly recommend to anyone looking for a reliable CPA in NYC.”
Split your income: Use Schedule C for the active portion and Schedule E for passive income.
Yes, you can deduct service fees as either business expenses (Schedule C) or rental expenses (Schedule E).
Schedule C income is subject to self-employment tax (15.3%) and federal income tax.
Yes, many states and cities require collecting and remitting local lodging taxes.
Need guidance on reporting your Airbnb income correctly? Contact us for tailored advice on whether Schedule C or E fits your rental situation!
Still have a question? Ask a CPA directly or call (212) 641-0673.
Keep reading
RSA taxation explained by a New York CPA. Restricted stock units vs restricted stock awards, withholding at vest, sell to cover, forfeiture, and the QSBS clock.
Contributed too much to your 401(k)? What counts as an excess deferral, how a mid-year job change causes one, and what changes in 2026 for higher earners.
Filing and paying are two separate tests on two different numbers. You can be required to file the UBT and owe nothing at all. What each test measures.
Ready when you are
A CPA will review your situation and give you a straight answer. No commitment, no jargon.
