As a host, you are responsible for declaring your rental income correctly and meeting the tax reporting requirements set by local authorities and the platforms you use. Understanding these obligations helps you stay compliant and manage your rental business with confidence.

General Tax Return Obligations

• All income earned from short-term rentals must be reported on your annual tax return, in line with local tax laws.
• Rental-related expenses, such as utilities, repairs, and management fees, may be deductible depending on the tax rules in your country.
• Which costs you can deduct depends on your tax residency, legal entity, and applicable tax regime. We recommend consulting a tax professional to confirm which expenses are eligible in your jurisdiction.
• Keep detailed records of earnings, expenses, and supporting invoices for each property and booking.
• In many countries, rental income must be declared even when you use an intermediary platform.
• Local regulations often classify your activity as either "professional" or "non-professional" based on criteria such as the number of properties, income volume, or days rented. In many jurisdictions, registering as a business becomes a legal requirement once these thresholds are met.

Platform-Specific Tax Reporting Requirements

DAC7 (EU-wide Directive)

The DAC7 directive requires digital platforms, including Holidu, to collect and share certain host income information with EU tax authorities. This reporting applies from 2023 onward. Holidu is required to report the following information:

• Identification data of the host, including Taxpayer Identification Number, address, date of birth, and, for companies, the Commercial Registration Number
• Identification data of the property, including its complete address
• Total revenue earned by the host
• Fees, commissions, or taxes per property
• Total number of days booked per property

Information reported under DAC7 supports your tax obligations, but it does not replace your duty to file your own tax return. Holidu does not send annual reports to hosts.

Cedolare Secca (Italy)

The Cedolare Secca is a substitute flat-rate tax for rental income in Italy, including income earned through platforms.

Italian platforms and international platforms operating in Italy may be required to withhold part of the tax and remit it to Italian authorities on behalf of hosts.

When do we withhold tax? For private hosts without a VAT number or commercial registration, we apply the Cedolare Secca withholding tax by default. This automatic withholding remains in place unless you are considered a professional host. You can be recognized as a professional host by proactively confirming that you have 3 or more properties, or by providing a VAT number or commercial registration number.

How to Access Your Tax Return Summary

1. Log in to your Holidu account.
2. Click on the top right menu and go to Account.
3. Scroll down to Your reports & certificates.

Need Your Booking Invoices?

If you also need your booking invoices, you can download them from the Invoice section under the Financial tab in the left-side menu.

Important Points to Keep in Mind

• Tax regulations and reporting obligations may change from year to year, so stay informed about updates in your country.
• If you receive a request or notification from Holidu or another platform about your tax information, respond promptly and provide any required documentation so your account and payouts are not affected.
• Make sure your host profile details, including your VAT or commercial registration number if applicable, are accurate and up to date.

Summary

• Declare all rental income and follow both local tax rules and platform-specific reporting requirements.
• Holidu reports host information to tax authorities under DAC7 and local regulations, such as Italy's Cedolare Secca.
• Keep organized records of earnings, expenses, and invoices, and consult a local tax advisor for guidance specific to your region.
• Access your reports and certificates in your Holidu account under Account, then Your reports & certificates.

If you have any questions about your tax reporting, please use the Assistant for help.