Airbnb hosting is taxed differently from driving or delivery gig work, and that distinction matters a lot. Most short-term rental income is reported as rental income on Schedule E rather than as business income on Schedule C, which means it typically is not subject to self-employment tax the way DoorDash, Uber, or Instacart income is. The exception is when a host provides "substantial services" similar to a hotel - things like daily housekeeping, regular meals, or concierge-style services - in which case the IRS may treat the activity as a trade or business subject to self-employment tax instead of passive rental income.
There is also a narrow but valuable exception worth knowing about: if you rent out your home for 14 days or fewer during the year, that rental income is generally not taxable at all, and you cannot deduct rental expenses for that period either. Most active Airbnb hosts exceed 14 days of rentals per year, so this exception mainly matters for occasional or seasonal hosts.
Airbnb generally reports host payouts on Form 1099-K once you cross the applicable reporting threshold for the year, but you are responsible for reporting all rental income you actually received even if a form is not issued. Keep your own payout history from the Airbnb dashboard so you can reconcile it against whatever tax form arrives.
Deductible expenses for a host can include cleaning fees and supplies, a portion of mortgage interest or rent, property taxes, utilities, internet, depreciation on the property or furnishings, repairs, and Airbnb's own host service fees. If you rent out only part of your home, or only rent out the property for part of the year, most of these deductions need to be prorated based on the space used and the time it was actually available for rent - a full-time short-term rental property is treated differently from a spare room rented occasionally.
Many jurisdictions also require occupancy, lodging, or hotel taxes on short-term rentals. Airbnb automatically collects and remits some of these local taxes on a host's behalf in many areas, but not everywhere, so a host should confirm what Airbnb is already handling versus what still needs to be filed separately with the state or local jurisdiction.
If your hosting activity does rise to the level of a trade or business - for example, if you are actively running it like a hospitality business with substantial services - self-employment tax and quarterly estimated payments can come into play much like they do for other 1099 work. The Self-Employment Tax Calculator and Quarterly Tax Calculator are useful starting points for that scenario, and pass-through hosts operating as a real business may also want to review the QBI Deduction Calculator.
Because the rental-versus-business distinction depends heavily on your specific facts - how many days you rent, what services you provide, and how the property is used the rest of the year - this is one of the areas where a conversation with a tax professional is especially worthwhile before you file.
Related guide: Common 1099 tax mistakes.