Airbnb Tax Deductions: Complete List for Hosts in 2026

Running an Airbnb is a business, and the IRS treats it like one. That means most of the money you spend to operate your rental is deductible. The trick is knowing what counts, where it goes on your tax return, and what documentation you need to back it up.

This is a complete list of deductions available to short-term rental hosts in 2026, organized by IRS Schedule E line item. Whether you own the property or do rental arbitrage, this guide covers both.

Line 5: Rents Received

Not a deduction, but important: this is your gross rental income. For Airbnb hosts, this includes the total payout you received from all platforms minus their service fees. If you also collect cleaning fees from guests, those count as income too.

If you use multiple platforms (Airbnb, VRBO, Booking.com, direct bookings), all revenue from all sources goes here.

Line 6: Advertising

• Airbnb and VRBO service fees (the percentage they take from each booking)
• Professional photography for your listing
• Your own website or direct booking site costs
• Social media advertising for your rental
• Listing optimization tools
• Business cards or print materials

Platform fees are one of the biggest deductions most hosts miss. If Airbnb takes 3% from your payout, that's a deductible advertising expense. Over 12 months and multiple properties, this adds up fast.

Line 8: Cleaning and Maintenance

• Turnover cleaning between guests (your biggest recurring expense)
• Deep cleaning services
• Laundry service for linens and towels
• Cleaning supplies (detergent, sponges, trash bags)
• Lawn care and landscaping
• Pool maintenance and chemicals
• HVAC maintenance and filter replacements
• Pest control treatments
• Pressure washing
• Carpet cleaning

For most STR operators, Line 8 is the largest expense category. If you're paying $100-150 per turnover and hosting 20+ stays per month across your portfolio, this alone can be $2,000-3,000/month.

Line 9: Insurance

• Short-term rental insurance (Proper, CBIZ, etc.)
• Homeowner's or landlord insurance
• Umbrella liability policy
• Commercial general liability (if applicable)
• Workers' comp (if you have employees)

Standard homeowner's insurance usually doesn't cover STR activity. If you're operating without STR-specific insurance, you're exposed. The premium is fully deductible.

Line 10: Legal and Professional Fees

• CPA or tax preparer fees (related to rental activity)
• Attorney fees for lease review, LLC formation, contracts
• Bookkeeping services (including software like HostFi)
• Property management software subscriptions
• Real estate consultant fees

Line 11: Management Fees

• Property management company fees (typically 20-30% of revenue)
• Co-host compensation
• Virtual assistant fees (for guest communication, booking management)

If you self-manage, this line might be zero. But any fees paid to others who help manage your rentals go here.

Line 12: Mortgage Interest (Owners Only)

• Mortgage interest on the rental property
• Interest on home equity loans used for the rental
• Points paid on the rental property mortgage

This is for property owners only. If you do rental arbitrage (lease the unit and sublet on Airbnb), your rent goes on Line 14 instead.

Line 14: Other Interest / Rent Paid (Arbitrage Operators)

• Monthly rent paid to the landlord (arbitrage operators)
• Interest on business loans used for the rental operation
• Interest on business credit cards used for rental expenses

For arbitrage operators, your monthly lease payment is your biggest single expense and it's fully deductible. This is the line that makes the arbitrage tax math work.

Line 15: Repairs

• Plumbing fixes (leaky faucet, running toilet)
• Electrical repairs
• Appliance repair (not replacement)
• Drywall patching and painting (maintenance, not improvement)
• Lock rekeying or smart lock battery replacement
• Window repair
• Grout and caulk replacement

The IRS distinguishes between repairs (restoring something to working condition) and improvements (making it better than before). Repairs are deducted immediately. Improvements must be depreciated over time. A new faucet replacing a broken one = repair. Upgrading all plumbing fixtures for aesthetics = improvement.

Line 16: Supplies

• Guest toiletries (shampoo, conditioner, soap, lotion)
• Paper goods (toilet paper, paper towels, tissues)
• Coffee, tea, and kitchen staples you provide
• Welcome gifts or baskets
• Linens and towels (when replacing, not initial purchase)
• Kitchen supplies (sponges, dish soap, foil, bags)
• Light bulbs and batteries
• Smoke detector and CO detector batteries
• Guidebook printing

Line 17: Taxes

• Property taxes (owners)
• Local transient occupancy tax (TOT)
• State and local sales tax on rental income
• Business license fees
• STR permit fees

Many cities charge a transient occupancy tax (hotel tax) on short-term rentals. Airbnb collects and remits this in some jurisdictions but not all. If you're paying it yourself, it's deductible.

Line 18: Utilities

• Electricity
• Gas / heating
• Water and sewer
• Trash and recycling
• Internet / WiFi (required for most guests)
• Cable or streaming subscriptions provided to guests
• Phone line (if property has a dedicated line)

For STR operators, utilities are typically higher than long-term rentals because guests use more electricity, water, and heating/cooling. This makes them a significant deduction.

Line 19: Depreciation

• Building depreciation (27.5 years for residential rental property)
• Furniture and fixtures (5-7 year depreciation)
• Appliances (5-7 years)
• Landscaping improvements (15 years)
• Cost segregation study accelerated items

Depreciation is a non-cash deduction that reduces your taxable income. Even though you're not writing a check, you're deducting a portion of the property's value each year. This is one of the biggest tax advantages of owning rental property.

A cost segregation study can accelerate depreciation on certain components (carpeting, fixtures, landscaping) from 27.5 years to 5-15 years, creating significantly larger deductions in the early years. Worth it for properties valued over $500K.

Line 20: Other Expenses

• Travel to your rental property (mileage or actual expenses)
• Home office deduction (if you manage rentals from home)
• Smart home devices (smart locks, thermostats, security cameras)
• Parking fees at the property
• HOA fees (owners)
• Security system monitoring
• Key management service
• Channel manager software
• Dynamic pricing tool subscriptions (PriceLabs, Wheelhouse, Beyond)

Deductions People Miss

Based on working with hundreds of STR operators, these are the most commonly missed deductions:

1. Platform fees — Airbnb's 3% host fee and VRBO's fees are deductible advertising expenses. On $100K in bookings, that's $3,000+ you might be missing.
2. Mileage — Every trip to the property for cleaning, maintenance, restocking, or inspections. Track it. The 2026 IRS mileage rate is 70 cents per mile.
3. Software subscriptions — PriceLabs, Guesty, Hostaway, HostFi, your channel manager, smart lock apps. They all count.
4. Startup costs — Furniture, initial supplies, photography for your first listing, and LLC formation costs from when you started.
5. Internet and streaming — WiFi is essentially required for Airbnb guests. If you provide Netflix or streaming, that's deductible too.

Record-Keeping Tips

The IRS can audit rental property returns for up to 3 years (6 if they suspect significant underreporting). Keep records of everything:

• Save every receipt. Photograph them immediately. Paper fades.
• Use a separate bank account for rental income and expenses. Commingling personal and business funds is an audit red flag.
• Track mileage as it happens. A mileage log reconstructed at year-end won't hold up.
• Categorize as you go. Don't wait until tax time to sort 12 months of transactions.
• Automate what you can. Forward bills to your expense tracker, connect your bank, let AI handle categorization.