Sharing economy and the TAX

ATO has some good information on their website regarding sharing economy (AirBnB, Uber etc) and TAX.

With regards to the likes of AirBnB and stayz, it says -

When you rent out all or part of your residential house or unit through a sharing economy website or app, like Airbnb, Stayz or similar:

What deductions can you claim?
The types of expenses that you can claim are the same as if you had a rental property. Common expenses you can claim include:

• 
  
  • fees or commission charged by the facilitator or administrator (For ex. AirBnB)
  • council rates
  • interest on a loan for the property
  • electricity and gas
  • property insurance
  • cleaning and maintenance costs (products used or hiring a commercial cleaner).

Whether all or part of the expense can be claimed will depend on:

• 
  
  • the proportion of the year you rent out the house or property
  • the portion of the property you have rented out (for example, a room or the whole property)
  • whether you use the home or part of the house for personal use when it is not rented out.

However you'll need to -

• keep records of all income earned and declare it in your income tax return
• keep records of expenses you can claim as deductions
• don't need to pay GST on amounts of residential rent you earn.

Link to ATO website here

 

Sorry I missed the point.

 

Quick skim through says nothing about CGT tax which I would think would be considered if you used your PPOR for income producing activities and making expense claims as a result?

 

Maybe thats "the tax". Sorry the TAX....

 

Sorry @Paul@PFI, it looks like you didn't like that I crossed over to your territory and shared something about 'the TAX'.

Point is all the information is there on ATO website that'll come handy especially when holding your accountant accountable(see what i did there)

And here just sharing the information that can be relevant to property investors. Some may have seen it and many may have not seen it.

The link was to the main page and you can use sidebar to navigate into separate detailed info pages. You must have seen this information/website before.

@Colin Rice Here's direct link on CGT -
The sharing economy and tax

Enjoy !!

 

This is not the case. The ATO provide a general overview only.

 

There is a increasing number of taxpayers who use alternative technology to manage tenancy. Some go AirBnb and others try it and give up. It can be a excellent yield generator in some cases. I have a client who even helps other manage their AirBnbs. Some use Stayz well too.

Each taxpayer needs more guidance that the generic stuff on the ATO website...Like land tax, Insurance, Managing the property etc CGT impacts arent well explained just as Granny Flats isnt either. Just posting a thread from the ATO isnt a great way to promote a business....Add some depth would be my tip.

The ATO website is fairly vanilla and lacks some depth. PC gets a range of thread issues including one on insurance issues for AirBnb.

Insurance for AIRBNB

 

OK not exactly all the info but enough general info that can come handy...similar to the general info that most professionals here on forum provide...

 

cant see any about whether renting properties through airbnb etc constitute the running of a business.

2 properties through AirBNB probably not. 9 properties through AirBNB maybe (YPFD v The Commissioner of Taxation). Different tax implications under both scenarios.

the website only talks about businesses apart from rental properties.

Question id like answered from the website on sharing economy. can i transfer a property where a couple holds 9 properties rented through airbnb to an SMSF ?

i couldnt find anything on the dropdown list on the left ?

 

I'm waiting for that post to be written by you as you seem to be the expert in the area.

Wow...It seems like i've done some sort of mistake here by sharing what i found to be good information. I thought the others may benefit from it as it was beneficial to me.
However it comes across as if i may have stepped onto something which is very close to you
I wonder what !!

 

Sharing wasn't a mistake, but is the ATO website the best place for tax advice?

 

@teetotal no of course not. agreed it is good to share new ideas and things found. otherwise the forum would be boring

but as @Terry_w says the ATO is a good general guide. it just doesn't go into specifics very well. nor is it meant to. its meant to act as a general guide and people then use that to ask questions of their advisers.

 

And would you want to take advice from the ATO? Their job is to collect tax, as much as possible!!

 

@MikeLivingTheDream But isn't that a good thing that people are able to question their service provider? Wouldn't this help to weed out the dodgy players in market as good service provider should be able to answer those questions very well.
I agree one wouldn't seek tax advice from ATO website as much they wouldn't from a forum, given both places have general advice available only (and that too with disclaimers).
So both seem the same to me - General advice on ATO website and general advice/info on the forum.

 

You don't know what you don't know it seems.

 

Mikey me likely you no likey hem

I havent really had the need to choose house cleaners for a airbnb. Maybe the tax thread is not the correct thread. The TAX isnt airtaskers strength ??

 

I know what you saying I totally get it but I don't see it fair to have everyone jumping on this thread because ATO website is only giving general advice so I shouldn't have shared it on the forum.
But my point is that, isn't it what every professional does here - provides general advice.
So how come me sharing info about general advice is different from general advice provided elsewhere on the forum.

 

Don't worry Paul, no one here is denying the existence of your trade

 

when looking at this thread as an outsider, I can see rest of the forum be like...

 

Not sure what your point is but you are not licenced in tax I presume and you made a comment to the effect that the ATO website covered all there is to know about this topic. Since you are a business member with a signature many viewers out there would assume you are able to give advice about tax so this is an added danger.

Sharing a link saying here is some info by the ATO is fine.