If you landed on this page you are probably thinking of earning something via AirBnB or similar. The whole thing can be a nice solution to earn quick money and meet new people, but there are three things in Berlin that you have to pay attention to. Regarding all of the following, it should be said that I am neither a lawyer nor a tax advisor, but a management consultant. If you are interested, I can still help you with some things and recommend qualified professionals from the aforementioned professional groups.
- Approval & registration requirement
- Landlord approval
- Tax implications
Let’s get started:
Approval and registration requirement
The legal basis is the Prohibition of Misappropriation of Purpose, including the related ordinance and revisions. Which for you probably. most interesting point:
Who doesn’t need a permit?
No approval is required if you rent a single room or several rooms with a total share of less than 50% of your main residence. In the opinion of the Senate Department for Urban Development and Housing, you still need registration in this case, but this is legally disputed. Furthermore, you do not need a permit if you are renting out long-term (e.g. several months). And finally, you are exempt from this if you rent out commercial premises under building law as a holiday home. But since this is all an unclear legal situation with various pending proceedings, check whether these statements are up to date for positive or negative when you read this 🙂
Who needs a permit?
You need the permit if you rent at least 50% of the floor space of your main residence. As a rule, this is granted, for how many days I do not know. You can find the application here. Permits are also granted for second residences, but usually only for 90 days.
As a rule, renting rooms via Airbnb triggers income from renting and leasing as well as a tax declaration obligation (if you otherwise only had employee income without special features). Income from renting and leasing not only includes income, but also income-related expenses. What can be deducted in individual cases, please ask your tax advisor or speak to me and I will arrange one for you. Rough list of advertising costs: A deductible cost for financing, renovation, maintenance, setup, depreciation, ancillary costs, the whole thing only partly on a cost or time basis depending on your personal situation.
How much is taxed?
The income from renting and leasing is taxed at your individual tax rate. To know what percentage you should save for taxes, you have to look at your individual marginal tax rate.
Attention: sales tax can also play a role in this short-term rental, namely when the income exceeds 22,000 euros (keyword: small business regulation). If the service offer is too large, the income can theoretically also tip over into the commercial sector, but this is rather unlikely when renting via Airbnb.
Briefly short of cash?
In the case of short-term subletting in your own apartment, there is an allowance of 520 euros per year. You do not have to declare income up to this limit in your tax return, but if your income exceeds this limit, the income must be declared and fully taxed.